Global Markets:
- Asian Stock Markets : Nikkei up 1.03%, Shanghai Composite down 0.24%, Hang Seng up 0.54%, ASX up 0.90%
- Commodities : Gold at $1885.85 (+0.50%), Silver at $24.03 (+1.55%), Brent Oil at $79.67 (-0.54%), WTI Oil at $74.59 (-0.71%)
- Rates : US 10-year yield at 3.574, UK 10-year yield at 3.526, Germany 10-year yield at 2.250
News & Data:
- (JPY) Leading Indicators 97.60% vs 97.50% expected
- (JPY) 30-y Bond Auction 1.65|3.1 vs 1.48|3.0 previous
- (AUD) Retail Sales m/m 1.40% vs 0.60% expected
- (AUD) CPI y/y 7.30% vs 7.20% expected
- (NZD) ANZ Commodity Prices m/m -0.10% vs -4.00% previous
- (USD) IBD/TIPP Economic Optimism 42.3 vs 41.7 expected
- (USD) Final Wholesale Inventories m/m 1.00% vs 1.00% expected
- (USD) NFIB Small Business Index 89.8 vs 91.6 expected
- (GBP) 10-y Bond Auction 3.70|2.8 vs 3.33|2.2 previous
- (CNY) New Loans 1400B vs 1150B expected
- (CNY) M2 Money Supply y/y 11.80% vs 12.40% expected
Markets Update:
Asian stock markets are trading mostly higher on Wednesday, following the broadly positive cues from Wall Street overnight, as optimism surrounding China’s reopening helped offset concerns about interest rates. US Fed Chair Jerome Powell refrained from commenting on monetary policy at a symposium. However, in his speech in Stockholm, Powell stressed the case for monetary policy independence and noted that price stability is the bedrock of a healthy economy. He emphasized the need for the central bank to be free of political influence while it tackles high inflation.
Hong Kong’s Hang Seng index was the best-performing Asian bourse on Wednesday, rallying more than 1% at a point to touch six-month highs. Japan’s Nikkei 225 index added nearly 1%, with export-oriented stocks gaining on recent weakness in the Japanese yen. Australia’s ASX 200 index surged 0.9% after data showed that retail sales grew more than expected in November, thanks largely to the Black Friday shopping event. Gains in technology stocks also lifted Chinese bourses, with the Shanghai Shenzhen CSI 300 and the Shanghai Composite indexes adding about 0.3% each.
Crude oil prices settled higher on Tuesday, gaining for a fourth straight session, amid expectations energy demand will pick up after China decided to reopen its economy. The dollar index, which measures the dollar against six major currencies, was mostly flat at 103.21, hovering close to a seven-month low.
Upcoming Events:
- 12:30 AM GMT – (AUD) CPI y/y
- 06:01 PM GMT – (USD) 10-y Bond Auction
