EMERGING MARKETS-Indonesian stimulus props up banking stocks amid broader Asia caution
Maybank By Nikhil Nainan July 8 (Reuters) - Indonesia bucked Asia's second day of stock losses on Wednesday on hopes extra funds pumped into the economy from the government and central bank would strengthen the financial sector and the coronavirus-hit economy. Elsewhere, rising global infections and an increasingly cautious outlook over U.S. growth hit investor appetite for risk, keeping currencies flat and pushing stock markets in the Philippines and South Korea on the retreat. Stocks across the region were on a tear on Monday, gaining around 7% over a handful of sessions, but the mood globally has turned darker as the volume of infections stirred fears about the scale of recession to come. Central banks across Asia have been acting aggressively to ease the pain for their economies, with Malaysia the latest to cut rates on Tuesday. Daniel Dubrovsky, an analyst with DailyFX, said Indonesia's banks were gaining on the flood of extra liquidity from a government and central bank-sponsored bond scheme worth roughly $40 billion.
EMERGING MARKETS-Indonesian stimulus props up banking stocks amid broader Asia caution
Maybank By Nikhil Nainan July 8 (Reuters) - Indonesia bucked Asia's second day of stock losses on Wednesday on hopes extra funds pumped into the economy from the government and central bank would strengthen the financial sector and the coronavirus-hit economy. Elsewhere, rising global infections and an increasingly cautious outlook over U.S. growth hit investor appetite for risk, keeping currencies flat and pushing stock markets in the Philippines and South Korea on the retreat. Stocks across the region were on a tear on Monday, gaining around 7% over a handful of sessions, but the mood globally has turned darker as the volume of infections stirred fears about the scale of recession to come. Central banks across Asia have been acting aggressively to ease the pain for their economies, with Malaysia the latest to cut rates on Tuesday. Daniel Dubrovsky, an analyst with DailyFX, said Indonesia's banks were gaining on the flood of extra liquidity from a government and central bank-sponsored bond scheme worth roughly $40 billion.