Global Markets:
- Asian Stock Markets : Nikkei down 1.29%, Shanghai Composite up 1.44%, Hang Seng up 0.66%, ASX up 0.75%
- Commodities : Gold at $1927.20 (+0.29%), Silver at $24.59 (+0.88%), Brent Oil at $84.69 (-0.69%), WTI Oil at $79.36 (-0.94%)
- Rates : US 10-year yield at 3.498, UK 10-year yield at 3.373, Germany 10-year yield at 2.163
News & Data:
- (USD) Prelim UoM Inflation Expectations 4.00% vs 4.40% previous
- (USD) Prelim UoM Consumer Sentiment 6460.00% vs 6080.00% expected
- (GBP) GDP m/m 0.10% vs -0.20% expected
Markets Update:
Asian stock markets are trading mostly higher on Monday, following the broadly positive cues from global markets on Friday, as upbeat consumer price inflation and consumer sentiment data from the U.S. raised hopes the US Fed will slow its pace of interest rate-hike trajectory in the coming months.
The Japanese stock market is significantly lower in choppy trading on Monday, extending the losses in the previous session, with the Nikkei 225 falling below the 25,900 level, amid speculation that the Bank of Japan will shift from its ultra-easy policy at its monthly monetary policy meeting on Wednesday. In mainland China, the Shenzhen Component rose 2.1%, leading gains in the wider region. The Shanghai Composite rose 1.4% as the nation saw home prices further drop in December. Hong Kong’s Hang Seng index was up 0.7%.The Australian stock market is significantly higher on Monday, extending the gains in the previous three sessions, with the benchmark S&P/ASX 200 moving to just below the 7400 level, with gains across most sectors, led by technology stocks and gold miners gold prices spiked.
Yields on 10-year Treasuries are down at 3.51%, having fallen 6 basis points last week, close to its December trough, and major chart target of 3.402%. Oil prices also rallied last week on hopes the speedy reopening of China would boost demand. Data on mobility, traffic and transport trips in China have shown a sharp revival in movement ahead of the Lunar New Year holidays next week.
Upcoming Events:
Monday, January 16, 2023
- Day 1 – (All) WEF Annual Meetings
- 03:00 PM GMT – (GBP) BOE Gov Bailey Speaks
- 03:30 PM GMT – (CAD) BOC Business Outlook Survey
Tuesday, January 17, 2023
- 02:00 AM GMT – (CNY) GDP q/y
- 07:00 AM GMT – (GBP) Claimant Count Change
- 07:00 AM GMT – (GBP) Average Earnings Index 3m/y
- Day 2 – (All) WEF Annual Meetings
- 10:00 AM GMT – (EUR) German ZEW Economic Sentiment
- 01:30 PM GMT – (CAD) CPI m/m
- 01:30 PM GMT – (CAD) Median CPI y/y
- 01:30 PM GMT – (CAD) Trimmed CPI y/y
- 01:30 PM GMT – (CAD) Common CPI y/y
- 01:30 PM GMT – (USD) Empire State Manufacturing Index
Wednesday, January 18, 2023
- Tentative – (JPY) BOJ Outlook Report
- Tentative – (JPY) Monetary Policy Statement
- Tentative – (JPY) BOJ Press Conference
- 07:00 AM GMT – (GBP) CPI y/y
- Day 3 – (All) WEF Annual Meetings
- 01:30 PM GMT – (USD) Core PPI m/m
- 01:30 PM GMT – (USD) Core Retail Sales m/m
- 01:30 PM GMT – (USD) PPI m/m
- 01:30 PM GMT – (USD) Retail Sales m/m
Thursday, January 19, 2023
- 12:30 AM GMT – (AUD) Employment Change
- 12:30 AM GMT – (AUD) Unemployment Rate
- Day 4 – (All) WEF Annual Meetings
- 10:30 AM GMT – (EUR) ECB President Lagarde Speaks
- 01:30 PM GMT – (USD) Philly Fed Manufacturing Index
- 01:30 PM GMT – (USD) Unemployment Claims
- 06:15 PM GMT – (USD) FOMC Member Brainard Speaks
Friday, January 20, 2023
- 07:00 AM GMT – (GBP) Retail Sales m/m
- 08:00 AM GMT – (CHF) SNB Chairman Jordan Speaks
- Day 5 – (All) WEF Annual Meetings
- 10:00 AM GMT – (EUR) ECB President Lagarde Speaks
- 01:30 PM GMT – (CAD) Core Retail Sales m/m
- 01:30 PM GMT – (CAD) Retail Sales m/m
- 03:00 PM GMT – (USD) Existing Home Sales
- 06:00 PM GMT – (USD) FOMC Member Waller Speaks
