Global Markets:
- Asian stock markets: Nikkei up 1.70%, Shanghai Composite up 0.74%, Hang Seng up 1.96%, ASX up 1.14%
- Commodities: Gold at $1323.60 (+0.28%), Silver at $16.465 (+0.32%), WTI Oil at $62.70 (+0.21%), Brent Oil at $65.64 (+0.15%)
- Rates: US 10-year yield at 2.886, UK 10-year yield at 1.488, German 10-year yield at 0.642
News & Data:
- (AUD) Cash Rate 1.50% vs 1.50% expected
- (AUD) Retail Sales m/m 0.10% vs 0.40% expected
- (AUD) Current Account -14.0B vs -12.3B expected
- (USD) ISM Non-Manufacturing PMI 59.5 vs 58.9 expected
- (GBP) Services PMI 54.5 vs 53.3 expected
- BoJ's Kuroda: Less stimulus unthinkable before reaching CPI target, don't think BoJ will be unable to buy bonds
- Slow February offers UK retailers little cheer as they count the cost of bad weather
Markets Update:
Asian markets traded higher today, after fears of a trade war eases. President Trump has been facing pressure for all corners on his protectionist rhetoric of the past few days, with a number of his Republican allies pushing back; easing investor worries about trade wars hijacking global economic growth.
Nikkei made sizable gains today after hitting a five-month low yesterday, primarily due to yen weakness, and improved sentiment. Banks have been driving the rebound in China and Hong Kong. On ASX, Steel and Iron ore producers’ recovery propped up the index.
Korean shares pared all losses it had made after the tariff announcement by President Trump, primarily on reports of improving relations with the North, after Kim Jong-un met with South Korean envoys on Monday.
The dollar has been mixed against major currencies. While the easing of protectionist fears helped the dollar gain against the yen, the euro recovered from seven week lows against the dollar hit last week.
ECB rate decisions will dictate how euro moves in the coming weeks. US bond yields gained yesterday, alongside equities. Crude has been trading flat, however, it support by robust demand forecasts.
Upcoming Events:
- 12:30 PM GMT – (USD) FOMC Member Dudley Speaks
- Tentative – (NZD) GDT Price Index
- 03:00 PM GMT – (CAD) Ivey PMI
- 06:15 PM GMT – (GBP) MPC Member Haldane Speaks
- 09:35 PM GMT – (AUD) RBA Gov Lowe Speaks
- 10:30 PM GMT – (USD) FOMC Member Brainard Speaks
- &more…
