Global Markets:
- Asian Stock Markets : Nikkei up 0.15%, Shanghai Composite up 0.42%, Hang Seng up 0.40%, ASX down 0.36%
- Commodities : Gold at $1294.50 (-0.22%), Silver at $16.40 (-0.22%), Brent Oil at $75.45 (+0.21%), WTI Oil at $65.02 (+0.42%)
- Rates : US 10-year yield at 2.939, UK 10-year yield at 1.298, Germany 10-year yield at 0.425
News & Data:
- (AUD) Cash Rate 1.50% vs 1.50% expected
- (CNY) Caixin Services PMI 52.9 vs 52.9 expected
- (AUD) Current Account -10.5B vs -9.9B expected
- (GBP) Construction PMI 52.5 vs 52 expected
- (AUD) Company Operating Profits q/q 5.90% vs 3.10% expected
- (AUD) Retail Sales m/m 0.40% vs 0.30% expected
- Exports, government spending seen boosting Australia's first quarter economic growth
- China shows derisking is progressing in some areas, with some advances in structural change; policy trade-offs are arising
- Sweltering May Sees British Consumers Head to the Stores
Markets Update:
Asian stocks steadied up today, after yesterday’s rally, although cues from the Wall Street remained positive. Investors continue to remain in a risk-on mood, although Treasuries made slight gains today, after four consecutive sessions of declines. Investor focus looks to have shifted to bullish economic fundamentals, rather than trade war concerns.
Japanese stocks pared initial gains to trade modestly higher, supported by a weaker yen. Australian stocks are on the decline, as weaker commodity prices pulled down commodity names. Markets were fluctuating in Singapore and North Korea in today’s trade. The Shanghai Composite gained, after data showed China’s services sector expanded at a steady pace in May.
The 10-year U.S. Treasury note yield stood near an 11-day high of 2.946 percent brushed overnight. The yield had declined to a 1-1/2-month low of 2.759 percent a week ago when Italian political concerns had soured investor sentiment. The dollar index was slightly in the green in today’s trade, as rising yields, and euro weakness helped the greenback.
Crude oil prices rose in Asian trades after falling to a near two-year low overnight. However, growing U.S. production and expectations of higher OPEC supplies are seen to limit the bounceback.
Upcoming Events:
- 09:30 AM GMT – (GBP) Services PMI
- 11:00 AM GMT – (GBP) MPC Member Cunliffe Speaks
- 01:30 PM GMT – (CAD) Labor Productivity q/q
- 02:00 PM GMT – (EUR) ECB President Draghi Speaks
- 03:00 PM GMT – (USD) ISM Non-Manufacturing PMI
- Tentative – (NZD) GDT Price Index
- 06:30 PM GMT – (EUR) German Buba President Weidmann Speaks
- &more…
