Global Markets:
- Asian Stock Markets : Nikkei down 0.2%, Shanghai Composite down 0.45% Hang Seng down 1.68% ASX down 1.20%
- Commodities : Gold at $4,138.87 (-1.13%) Silver at $63.80 (-3.09%), Brent Oil at $79.52 (-0.30%), WTI Oil at $76.51 (-0.41%)
- Rates : US 10-year yield at 4.463, UK 10-year yield at 4.7610, Germany 10-year yield at 2.9310
News & Data:
- (CAD) Core Retail Sales m/m 0.1% to 0.8% expected
Markets Update:
Asia-Pacific markets traded mixed on Monday, with Japan leading regional gains. The Nikkei 225 surged 1.95% to a record high above the 72,000 level, while the Topix advanced 1.29%. South Korea’s Kospi gained 1.22%, though the small-cap Kosdaq fell 0.99%. Australia’s S&P/ASX 200 edged higher, while Hong Kong’s Hang Seng declined 1.74%. Mainland China’s CSI 300 bucked the trend, rising 0.28%.
U.S. equity futures moved lower as investors assessed the latest developments in Iran-U.S. negotiations and prepared for key inflation data due later this week. S&P 500 futures fell 0.4%, Nasdaq-100 futures lost 0.6%, and Dow Jones Industrial Average futures dropped 183 points, reflecting a cautious market mood ahead of major economic releases.
Oil prices turned lower after initial gains as mediators Qatar and Pakistan said U.S. and Iranian officials had agreed on a roadmap aimed at securing a final deal within 60 days. Brent crude slipped 0.38% to $80.26 per barrel, while U.S. West Texas Intermediate crude pared earlier gains to trade about 1% higher at $77.52 a barrel.
Investors are now focused on Thursday’s release of the Personal Consumption Expenditures (PCE) Price Index, the Federal Reserve’s preferred inflation gauge. The data comes after last week’s hawkish Fed meeting, which prompted markets to bring forward expectations for a potential interest-rate hike. Despite concerns about future volatility, U.S. stocks ended last week higher, with the S&P 500 and Dow gaining nearly 1% and the Nasdaq advancing more than 2%.
Upcoming Events:
- 12:30 PM GMT – CAD CPI m/m
