Global Markets:
- Asian Stock Markets : Nikkei up 1.53%, Shanghai Composite up 0.07%, Hang Seng up 0.44%, ASX up 0.46%
- Commodities : Gold at $1928.45 (-0.23%), Silver at $22.85 (-1.67%), Brent Oil at $92.61 (0.63%), WTI Oil at $89.09 (0.64%)
- Rates : US 10-year yield at 4.236, UK 10-year yield at 4.396, Germany 10-year yield at 2.641
News & Data:
- (USD) Core CPI m/m 0.3% vs 0.2% expected
- (USD) CPI y/y 3.7% vs 3.6% expected
- (USD) CPI m/m 0.6% vs 0.6% expected
Markets Update:
Asia-Pacific markets mostly rose despite higher-than-expected U.S. inflation in August, which reached 3.7%, exceeding economists’ forecasts of 3.6% in a Dow Jones survey. The consumer price index increased by 0.6% in August, matching expectations. In July, the CPI rose by 3.2% year-on-year and 0.2% month-on-month. However, when excluding volatile food and energy costs, the core CPI stood at 4.3%, in line with estimates and down from July’s 4.7%. The Federal Reserve tends to focus on the core CPI as a more reliable indicator of long-term inflation trends.
In Australia, the S&P/ASX 200 climbed 0.46% as August’s unemployment rate held steady at 3.7%, aligning with analysts’ forecasts. Japan’s Nikkei 225 saw a substantial increase of 1.53%, while the Topix had a more moderate gain of 1.07%. South Korea’s Kospi advanced by 1.01%, and the Kosdaq gained 1.61%.
Overnight in the U.S., the three major indexes had mixed performances. The Dow Jones Industrial Average saw its second consecutive day of declines, falling by 0.2%. Meanwhile, the S&P 500 edged up 0.12%, and the Nasdaq Composite added 0.29%.
Upcoming Events:
- 12:15 PM GMT – EUR Main Refinancing Rate
- 12:30 PM GMT – CAD Wholesale Sales m/m
- 12:30 PM GMT – USD Core PPI m/m
- 12:30 PM GMT – USD Core Retail Sales m/m
- 12:30 PM GMT – USD PPI m/m
- 12:30 PM GMT – USD Retail Sales m/m
- 12:30 PM GMT – USD Unemployment Claims
