Global Markets:
- Asian Stock Markets : Nikkei up 0.46%, Shanghai Composite up 1.38%, Hang Seng up 1.44%, ASX up 0.57%
- Commodities : Gold at $1220.30 (-0.43%), Silver at $15.38 (-0.29%), Brent Oil at $72.88 (-0.25%), WTI Oil at $67.70 (-0.28%)
- Rates : US 10-year yield at 2.950, UK 10-year yield at 1.265, Germany 10-year yield at 0.404
News & Data:
- (AUD) CB Leading Index m/m 0.10% vs 0.10% previous
- (USD) Existing Home Sales 5.38M vs 5.46M expected
- (EUR) Consumer Confidence -1 vs -1 expected
- (CAD) Wholesale Sales m/m 1.20% vs 0.60% expected
- BOE Broadbent Envisages Rate Cut Before Halting QE Unwind
- US dollar softer as exporters' yen buying offsets gains from yields jump
- Mexico’s president-elect reportedly seeks quick Nafta deal
Markets Update:
Global bond markets were tense on Tuesday amid talk of central bank tightening and the risk of a robust reading on U.S. economic growth later in the week, though stellar results from internet giant Alphabet supported tech stocks in Asia.
Asian stock markets are mostly higher on Tuesday with gains led by financial stocks following the mostly positive cues overnight from Wall Street and rising bond yields. Markets in Shanghai and Hong Kong are rising more than 1 percent each.
The Japanese market is rebounding after sharp losses in the previous session. Investors digested data that showed the Japanese manufacturing sector continued to expand in July, but at a slower pace. The Australian market is advancing, with stocks gaining across the board.
Chinese equities extended their gains, with the Shanghai Composite jumping more than 1.5 percent and the smaller Shenzhen Composite rising slightly lower than 1.5 percent. Those gains came after China's State Council on Monday said it would engage in more "vigorous" fiscal policy as the economy cools
Against a basket of currencies, the dollar was hovering at 94.607 compared to a low of 94.207 on Monday. The dollar is expected to gain from the economic growth (GDP) report due on Friday, where most economists expect it to easily cross the forecasted 4.1%. China’s yuan went the other way, slipping to a one-year low on the dollar with Beijing saying its value was driven by market forces. In commodity markets, oil prices eased as the focus turned to oversupply worries and away from escalating tensions between the U.S. and Iran.
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