Global Markets:
- Asian Stock Markets : Nikkei down 0.76%, Shanghai Composite up 1.15%, Hang Seng up 1.22%, ASX up 0.10%
- Commodities : Gold at $1523.05 (0.00%), Silver at $17.91 (-0.04%), Brent Oil at $66.25 (-0.24%), WTI Oil at $61.22 (+0.26%)
- Rates : US 10-year yield at 1.921, UK 10-year yield at 0.814, Germany 10-year yield at -0.188
News & Data:
- (AUD) Commodity Prices y/y -2.10% vs -4.70% previous
- (CNY) Caixin Manufacturing PMI 51.5 vs 51.7 expected
- China cuts Reserve Ratio Requirement to start the year
- More tariff cuts under Australia’s free trade deals
Markets Update:
Asian stock markets, led by China, are mostly higher on Thursday, the first trading day of 2020. Investor sentiment was bolstered by news that the much-awaited phase one trade deal between the U.S. and China will be signed on January 15. In addition, the People’s Bank of China said it will lower the reserve requirement ratio for banks by 50 basis points with effect from January 6. The move will enable banks to boost lending to small business.
In China, the blue-chip CSI300 index, one of the world’s best-performing indexes last year, was 1.2% higher. Markets in Japan are closed for a national holiday. Australian shares flicked between small gains and losses, and were last up 0.1%.
In currency markets on Thursday, the dollar continued to weaken slightly against major peers as investors bet on a better outlook for global growth and trade. The dollar index, which tracks the greenback against a basket of six rivals, was little changed, rising 0.04% to 96.427. Gold, which has benefited from a weaker greenback, was up 0.18% on the spot market, fetching $1,519.64 per ounce.
Upcoming Events:
- 08:15 AM GMT – (EUR) Spanish Manufacturing PMI
- 08:45 AM GMT – (EUR) Italian Manufacturing PMI
- 08:50 AM GMT – (EUR) French Final Manufacturing PMI
- 08:55 AM GMT – (EUR) German Final Manufacturing PMI
- 09:00 AM GMT – (EUR) Final Manufacturing PMI
- 09:30 AM GMT – (GBP) Final Manufacturing PMI
- 12:30 PM GMT – (USD) Challenger Job Cuts y/y
- 01:30 PM GMT – (USD) Unemployment Claims
- 02:30 PM GMT – (CAD) Manufacturing PMI
- 02:45 PM GMT – (USD) Final Manufacturing PMI
- &more..