Wednesday 13th October : Asian markets mixed, HK suspends trading

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Global Markets:

  • Asian Stock Markets : Nikkei down 0.20%, Shanghai Composite up 0.41%, Hang Seng up 0.19%, ASX down 0.11%
  • Commodities : Gold at $1762.75 (+0.20%), Silver at $22.71 (+0.87%), Brent Oil at $83.46 (+0.05%), WTI Oil at $80.66 (+0.02%)
  • Rates : US 10-year yield at 1.582, UK 10-year yield at 1.140, Germany 10-year yield at -0.093

News & Data:

  • (USD) 10-y Bond Auction 1.58|2.6 vs 1.34|2.6 previous
  • (USD) JOLTS Job Openings 10.44M vs 10.95M expected
  • (EUR) German ZEW Economic Sentiment 22.3 vs 23.7 expected
  • (EUR) ZEW Economic Sentiment 21 vs 27.9 expected

Markets Update:

Asian stock markets are mostly higher on Wednesday, ignoring the negative cues overnight from Wall Street, as traders looked to pick up stocks at reduced levels following the recent sell-offs. Concerns about the uncertainty on the outlook for the markets following the volatility seen throughout early October weighed on the markets along with surging crude oil prices leading to inflation and interest rate worries.

The Japanese stock market is modestly lower in choppy trading on Wednesday after being in the green briefly, with financial and technology stocks dragging the market. Shares in mainland China were mixed in Wednesday trade as investors reacted to the release of Chinese trade data for September. Trading in Hong Kong has been cancelled all day on Wednesday because of a typhoon warning alert, the Hong Kong exchange said in a release at noon. The Australian stock market is slightly lower in choppy trading on Wednesday, with weakness in financial and materials stocks, partially offset by gains in technology and energy stocks.

The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 94.358 after bouncing from levels below 94.2 earlier in the week. The U.S. 10-year Treasury yield slipped further below 1.60%, while the yield curve flattened. Crude oil paused its recent rally amid the ongoing global energy crunch.

Upcoming Events:

  • 12:30 PM GMT – (USD) CPI m/m
  • 12:30 PM GMT – (USD) Core CPI m/m
  • 05:01 PM GMT – (USD) 30-y Bond Auction
  • 06:00 PM GMT – (USD) FOMC Meeting Minutes
  • 08:30 PM GMT – (USD) FOMC Member Brainard Speaks