Tuesday 9th June: Asian markets gain as S&P 500 wipes YTD losses

IC Markets No Comments

Global Markets:

  • Asian Stock Markets : Nikkei down 0.38%, Shanghai Composite up 0.62%, Hang Seng up 1.86%, ASX up 2.44%
  • Commodities : Gold at $1702.60 (-0.15%), Silver at $17.84 (-0.31%), Brent Oil at $40.93 (+0.32%), WTI Oil at $38.42 (+0.60%)
  • Rates : US 10-year yield at 0.839, UK 10-year yield at 0.319, Germany 10-year yield at -0.327

News & Data:

  • (AUD) NAB Business Confidence -20 vs -45 previous
  • (NZD) ANZ Business Confidence -33 vs -41.8 previous
  • (EUR) German Industrial Production m/m -17.90% vs -16.00% expected
  • Central banks will continue to overclub policy response: BlackRock
  • Fed economist pushes for unprecedented rate cut in the United States

Markets Update:

Asian stock markets are mostly higher on Tuesday following the overnight gains on Wall Street that saw the Nasdaq close at a record high and the S&P 500 wipe out all its losses for the year.

Investors continue to remain optimistic about a quick economic recovery from the coronavirus-induced downturn as businesses begin to reopen.

Mainland Chinese stocks also edged higher, with the Shanghai composite up 0.6% while the Shenzhen component added 0.5%. Hong Kong’s Hang Seng was higher by 1.9%. Shares in Australia, which returned to trade following a Monday holiday, led gains in the region’s major markets as the S&P/ASX 200 surged 2.4%. Elsewhere, the Nikkei 225 in Japan fell 0.4% while the Topix index shed 0.1%.

The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 96.72 after touching an earlier low of 96.532. Crude oil prices drifted lower on Monday, weighed down by news about Saudi Arabia’s decision to not extend any additional voluntary reduction in crude production.

Upcoming Events:

  • 09:00 AM GMT – (EUR) Final Employment Change q/q
  • 09:00 AM GMT – (EUR) Revised GDP q/q
  • All Day – (EUR) ECOFIN Meetings
  • 10:00 AM GMT – (USD) NFIB Small Business Index
  • 12:30 PM GMT – (CAD) Corporate Profits q/q
  • 02:00 PM GMT – (USD) Final Wholesale Inventories m/m
  • 02:00 PM GMT – (USD) JOLTS Job Openings
  • Tentative – (USD) IBD/TIPP Economic Optimism
  • 02:30 PM GMT – (GBP) MPC Member Cunliffe Speaks
  • 05:01 PM GMT – (USD) 10-y Bond Auction
  • 10:45 PM GMT – (NZD) Manufacturing Sales q/q
  • 11:50 PM GMT – (JPY) Core Machinery Orders m/m
  • 11:50 PM GMT – (JPY) PPI y/y