Global Markets:
- Asian Stock Markets : Nikkei up 0.36%, Shanghai Composite down 0.40%, Hang Seng down 0.27%, ASX up 0.06%
- Commodities : Gold at $1494.15 (-0.11%), Silver at $17.82 (-0.33%), Brent Oil at $61.01 (-0.91%), WTI Oil at $55.56 (-0.45%)
- Rates : US 10-year yield at 1.851, UK 10-year yield at 0.716, Germany 10-year yield at -0.336
News & Data:
- (JPY) Tokyo Core CPI y/y 0.50% vs 0.70% expected
- (USD) Prelim Wholesale Inventories m/m -0.30% vs 0.30% expected
- (USD) Goods Trade Balance -70.4B vs -73.5B expected
- (GBP) CBI Realized Sales -10 vs -20 expected
- (EUR) Private Loans y/y 3.40% vs 3.40% expected
- (EUR) M3 Money Supply y/y 5.50% vs 5.70% expected
- (EUR) German Import Prices m/m 0.60% vs 0.10% expected
- Tokyo inflation remains stagnant after Japan’s Oct. sales tax hike
- HK Lam: Will Launch More Measures To Stimulate Economy When Unrest Settles
Markets Update:
Asian stock markets are mostly higher on Tuesday following the overnight gains on Wall Street amid continued optimism for a trade deal between the U.S. and China. Expectations for another interest rate cut by the U.S. Federal Reserve, which is scheduled to announce its monetary policy decision on Wednesday, also boosted investor sentiment.
The Office of the U.S. Trade Representative said Monday that Washington will consider whether to extend certain tariff suspensions on $34 billion worth of imports from China that are set to expire on December 28 this year.
Mainland Chinese stocks also fell by the afternoon. The Shanghai composite shed 0.4% and the Shenzhen component was fractionally lower. The Hang Seng index in Hong Kong reversed earlier gains as it declined 0.3%, with Hong Kong-listed shares of HSBC dropping 1.5% after the lender reported third-quarter pre-tax profits that dropped 18% year-on-year. South Korea’s Kospi traded 0.1% lower.
The S&P/ASX 200 in Australia rose 0.1%. In Japan, the Nikkei 225 rose 0.4% while the Topix gained 0.9%. Shares of airliner ANA, however, fell more than 0.5% following a Nikkei report that the firm is expected to report a more than 20% drop in profit.
The embrace of risk left bonds out in the cold, and yields on two-year Treasury notes hit four-week highs at 1.667%. The shift from safe havens was working to weaken the yen. The dollar was firm at 108.98 yen, having reached its highest in three months, and was eyeing a major top at 109.31. Sterling firmed after the European Union agreed to a Brexit delay of up to three months, while Prime Minister Boris Johnson lost a vote to force an election on Dec. 12. Oil prices were pressured by signs of rising U.S. crude stockpiles.
Upcoming Events:
- 06:45 AM GMT – (AUD) RBA Gov Lowe Speaks
- 07:00 AM GMT – (GBP) Nationwide HPI m/m
- 09:30 AM GMT – (GBP) M4 Money Supply m/m
- 09:30 AM GMT – (GBP) Mortgage Approvals
- 09:30 AM GMT – (GBP) Net Lending to Individuals m/m
- 01:00 PM GMT – (USD) S&P/CS Composite-20 HPI y/y
- 02:00 PM GMT – (USD) CB Consumer Confidence
- 02:00 PM GMT – (USD) Pending Home Sales m/m
- 11:50 PM GMT – (JPY) Retail Sales y/y
- &more…
