Global Markets:
- Asian Stock Markets : Nikkei up 1.76%, Shanghai Composite up 0.23%, Hang Seng up 0.29%, ASX up 0.41%
- Commodities : Gold at $1334.55 (+0.44%), Silver at $14.81 (+0.29%), Brent Oil at $61.59 (-0.61%), WTI Oil at $53.01 (-0.88%)
- Rates : US 10-year yield at 2.099, UK 10-year yield at 0.898, Germany 10-year yield at -0.221
News & Data:
- (CNY) Caixin Services PMI 52.7 vs 54.3 expected
- (AUD) GDP q/q 0.40% vs 0.40% expected
- (AUD) AIG Services Index 52.5 vs 46.5 previous
- (NZD) GDT Price Index -3.40% vs -1.20% previous
- (USD) Factory Orders m/m -0.80% vs -1.00% expected
- RBA Boss Warns Banks On Undermining The Economy
Markets Update:
Asian stock markets are in positive territory on Wednesday following the overnight rally on Wall Street after comments by Federal Reserve Chairman Jerome Powell generated optimism about a potential interest rate cut. Powell said the central bank will act “as appropriate” to sustain the economic expansion. Worries about trade tensions also eased after China’s Ministry of Commerce said that the U.S.-China trade dispute can only be resolved through talks.
Mainland Chinese stocks rose by the afternoon, with the Shanghai composite gaining 0.2% and the Shenzhen component adding 0.3%. Hong Kong’s Hang Seng index also rose 0.3%, as Hong Kong-listed shares of Chinese telecommunications equipment maker ZTE soared 5.94%. Japan’s Nikkei 225 jumped 1.8% in afternoon trade, with shares of index heavyweight Fanuc surging more than 2.5%. The Topix index also gained 2.1% as the sectors mostly advanced. Over in South Korea, the traded flat.
The pound recovered from a five-month low on Tuesday but concerns about a disorderly departure from the European Union meant gains were minimal, amid promises from U.S. President Donald Trump of a “phenomenal” post-Brexit trade deal. Other major currencies were relatively calm, with the safe-haven yen still supported but not aggressively so.
In commodity markets, oil prices resumed their slide on Wednesday, dragged down by a surprise gain in U.S. inventories and comments from the head of Russian state oil producer Rosneft questioning the point of a deal with OPEC to withhold supplies.
Upcoming Events:
- 08:15 AM GMT – (USD) ADP Non-Farm Employment Change
- 09:45 AM GMT – (USD) FOMC Member Clarida Speaks
- 10:00 AM GMT – (USD) ISM Non-Manufacturing PMI
- 10:00 AM GMT – (USD) FOMC Member Bowman Speaks
- 09:30 PM GMT – (AUD) Trade Balance
- &more…
