Stocks in Asia declined early in the session after the U.S. President, Donald Trump, released a threatening statement about a possible government shutdown which stopped the recovery in the dollar.
Tuesday this week, Trump said that he would be willing to “close down” the government to secure funds needed in order to build a wall along the border of Mexico and the U.S.
As a result, stocks in Wall Street closed lower dragging down the Asian markets. Japans’ Nikkei 225 was down by 0.26 percent as early as the session started. Australia’s S&P/ASX 200 was down by 0.4 percent, with gains coming from the materials sub-index offsetting some of the losses in the utilities sub-index. Korea’s Kospi bucked the trend advancing by 0.17 percent.
Markets in Hong Kong are set to continue operations after being temporarily closed due to the Typhoon Hato.
Gold ended the session in higher positions, regaining some of its losses in the previous sessions. Investors were looking for a safe haven against the uncertainty that characterized the dollar (The dollar Index fell by almost 4% on Wednesday). Losses in U.S. equities supported the yellow metal as well.
After losing almost 0.4% in the previous session, gold futures for December went higher by $3.70 adding 0.3% and closing at at $1,294.70 per ounce.