Global Markets:
- Asian Stock Markets : Nikkei down 0.82%, Shanghai Composite up 0.07%, Hang Seng down 0.48%, ASX down 0.38%
- Commodities : Gold at $1206.00 (+0.14%), Silver at $14.16 (-0.15%), Brent Oil at $76.45 (-0.07%), WTI Oil at $67.83 (+0.09%)
- Rates : US 10-year yield at 2.877, UK 10-year yield at 1.416, Germany 10-year yield at 0.354
News & Data:
- (JPY) Average Cash Earnings y/y 1.50% vs 2.40% expected
- (USD) Crude Oil Inventories -4.3M vs -2.2M expected
- (USD) ISM Non-Manufacturing PMI 58.5 vs 56.8 expected
- (USD) ADP Non-Farm Employment Change 163K vs 195K expected
- Federal Reserve Is Sued, Accused of Limiting Competition
Markets Update:
Asian shares carved out a 14-month trough on Friday as investors feared a new salvo of Sino-U.S. tariffs could come at any moment, while a slump in U.S. chip stocks rippled through the tech-heavy region. The Wall Street Journal reported that U.S. President Donald Trump hinted a trade fight with Japan could be next. The Trump administration could place tariffs on additional $200 billion worth of Chinese goods as early as Friday after the end of a public comment period.
The Nikkei 225 fell by a percent in the afternoon. U.S. President Donald Trump had hinted to columnist James Freeman that Japan could be next in the trade cross hairs of America, according to a Wall Street Journal article. South Korea's Kospi also traded down by 0.92 percent, with chipmaker SK Hynix tumbling 4.57 percent following the recent sell-off in U.S. tech stocks. Chinese blue chips managed a 0.8 percent bounce as beaten-down health care stocks found buyers after taking a savaging in recent months amid vaccine scandals.
Emerging markets in the region were struggling to steady after a punishing week, with Indonesia and the Philippines still badly scarred by fears of capital flight following crises in Argentina and Turkey. Down Under, the ASX 200 continued the downward trend by sliding 0.58 percent, recovering slightly from its earlier losses. The dollar also hit a four-month low on the franc around $0.9645. Against a basket of currencies, the dollar index was flat at 95.022 and off the week’s top of 95.737.
The Dollar lost out to the safe-haven yen and Swiss franc. It was changing hands at 110.58 yen after falling 0.7 percent on Thursday, the sharpest one-day loss in seven weeks. Crude oil prices fell as traders weighed the possibility of a drop in demand for crude due to U.S.-China trade tensions and the current economic turmoil in some emerging markets.
Upcoming Events:
- 01:30 PM GMT – (CAD) Employment Change
- 01:30 PM GMT – (CAD) Unemployment Rate
- 01:30 PM GMT – (USD) Average Hourly Earnings m/m
- 01:30 PM GMT – (USD) Non-Farm Employment Change
- 01:30 PM GMT – (USD) Unemployment Rate
- &more…
