GLOBAL MARKETS-Asian shares touch 10-year peak as Wall St hits records

GLOBAL MARKETS-Asian shares touch 10-year peak as Wall St hits records
From Reuters - September 12, 2017

TOKYO (Reuters) - Asian stocks wobbled on Wednesday but still marked a 10-year high, cheered by record highs on Wall Street, while shares of Apple Incs (AAPL.O) suppliers dipped following the release of the latest iPhone.

MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS was slightly lower, after earlier poking up to its highest level since October 2007. Australian sharesadded 0.2 percent, while Korean shares .KS11 were 0.1 percent higher.

On Tuesday, the S&P 500 .SPX, Dow Jones industrials .DJI and Nasdaq Composite .IXIC all marked record finishes as investors' concerns faded about North Korean tensions as well as the impact of Hurricane Irma.[.N]

In the U.S. we had a bit of unwinding of the fear trade that its been going through and thats flowing through to us as well, said Mathan Somasundaram, a market portfolio strategist with Blue Ocean Equities in Sydney.

U.S. gains were kept in check, however, by a decline in shares of Apple Inc (AAPL.O) after it unveiled its newest line of iPhones. Apple fell 0.6 percent but pared some losses in afterhours trade.

The new iPhones sales will have repercussions beyond Apple for many suppliers as well as its rivals.

Taiwans benchmark dropped 0.5 percent, as shares of Apple supplier Taiwan Semiconductor Manufacturing Co (2330.TW), the worlds biggest contract chip maker, dipped 0.5 percent, while Hon Hai Precision Industry (2317.TW) was 0.4 percent lower.

Japan's Nikkei stock index .N225 added 0.5 percent to a one-month high, getting a tailwind as the yen stayed far away for its recent peaks.

The Nikkei is not rising on fundamentals at the moment, but rather on supply and demand moves, as the weaker yen prompts investors to cover short positions that they took during recent bouts of risk aversion, said Yutaka Miura, a senior technical analyst at Mizuho Securities.

Lately, we have seen some reactive moves in early trading, and then stabilization or even profit-taking later in the session, and today might be the same, Miura said.


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