Global Markets:
- Asian Stock Markets : Nikkei up 0.40%, Shanghai Composite up 0.49%, Hang Seng up 0.21%, ASX down 0.24%
- Commodities : Gold at $1234.70 (-0.17%), Silver at $14.80 (+0.05%), Brent Oil at $76.78 (+0.44%), WTI Oil at $66.58 (+0.23%)
- Rates : US 10-year yield at 3.156, UK 10-year yield at 1.478, Germany 10-year yield at 0.412
News & Data:
- (USD) Richmond Manufacturing Index 15 vs 25 expected
- (EUR) Consumer Confidence -3 vs -3 expected
- (GBP) CBI Industrial Order Expectations -6 vs -1 expected
- (EUR) German PPI m/m 0.50% vs 0.30% expected
- (JPY) BOJ Core CPI y/y 0.50% vs 0.50% previous
- Italy Finance Minister Seeks Way Out Of Budget Impasse: Corriere
- Trump says Fed Chairman Powell ‘almost looks like he’s happy raising interest rates’
Markets Update:
Asia traded mostly higher Wednesday afternoon, following a turbulent morning session where stocks seesawed between gains and losses. Reuters reported on Wednesday that China’s state planner approved fixed investment projects worth 697.7 billion yuan from January through September. Last week, President Xi Jinping offered support to the country’s private sector, while the State Council also said on Monday that it would support bond financing by private firms, adding that the People’s Bank of China will provide funding to facilitate this, although the central bank did not provide any details of the size of the plan or a timeline at the moment.
Greater China markets recovered, with Hong Kong's Hang Seng index gaining 0.21 percent. The Shanghai composite advanced by 0.5 percent. Meanwhile, Japan's Nikkei 225 recovered from earlier losses to see gains of 0.4 percent. The Flash Markit/Nikkei Japan Manufacturing Purchasing Managers' Index (PMI) rose to a seasonally adjusted 53.1 in October from a final 52.5 in September, official data showed. The ASX 200 struggled for gains, trading down 0.27 percent as the heavily-weighted financial sector rose 0.15 percent.
The U.S. currency was given a lift as the 10-year Treasury note yield rebounded to 3.162 percent after stooping to a three-week low of 3.111 on Tuesday. China’s yuan added to the previous day’s modest gains and rose to 6.9367 per dollar in onshore trade, continuing its modest pull-back from a near two-year low of 6.9445 marked on Monday. Sterling briefly gained half a percent against the dollar on Tuesday after a media report that the European Union could offer British Prime Minister Theresa May a UK-wide customs union to clinch a Brexit deal.
Crude slumped after Saudi Arabia said it could supply more crude quickly if needed, easing concerns ahead of U.S. sanctions on Iran. The recent sell-off in global equities has also raised worries about slowing growth curbing demand for crude.
Upcoming Events:
- 08:15 AM GMT – (EUR) French Flash Manufacturing PMI
- 08:15 AM GMT – (EUR) French Flash Services PMI
- 08:30 AM GMT – (EUR) German Flash Manufacturing PMI
- 08:30 AM GMT – (EUR) German Flash Services PMI
- 09:00 AM GMT – (EUR) Flash Manufacturing PMI
- 09:00 AM GMT – (EUR) Flash Services PMI
- 03:00 PM GMT – (CAD) BOC Monetary Policy Report
- 03:00 PM GMT – (CAD) BOC Rate Statement
- 03:00 PM GMT – (CAD) Overnight Rate
- 03:30 PM GMT – (USD) Crude Oil Inventories
- 04:15 PM GMT – (CAD) BOC Press Conference
- 06:00 PM GMT – (USD) FOMC Member Bostic Speaks
- 06:10 PM GMT – (USD) FOMC Member Mester Speaks
- 10:45 PM GMT – (NZD) Trade Balance
- &more…
