Global Markets:
- Asian Stock Markets : Nikkei up 0.06%, Shanghai Composite up 0.18%, Hang Seng down 1.79% ASX down 0.4%
- Commodities : Gold at $2676.35 (-0.64%), Silver at $31.7 (-0.18%), Brent Oil at $73.34 (-0.16%), WTI Oil at $70.2 (-0.29%)
- Rates : US 10-year yield at 4.342, UK 10-year yield at 4.431, Germany 10-year yield at 2.364
News & Data:
- (CAD) Unemployment Rate 6.5% vs 6.6% expected
- (CAD) Employment Change 14.5K vs 27.9K expected
Markets Update:
Asia-Pacific markets declined on Monday as China’s new stimulus package and lower-than-expected October inflation raised concerns about the country’s economic recovery. Beijing’s five-year, 10 trillion yuan ($1.4 trillion) stimulus plan, aimed at addressing local government debt, failed to inspire confidence in growth among analysts.
China’s inflation rate dropped to 0.3%, below the anticipated 0.4%, marking its lowest point in four months. This was the second consecutive monthly decrease, highlighting potential challenges in the world’s second-largest economy.
On Monday, China launched Singles’ Day, its answer to Black Friday, which ING analysts view as a potential indicator of consumer sentiment. They expect continued growth in value-focused and online shopping, potentially exceeding the broader consumption growth trend.
Across Asia, markets reacted to these developments. Hong Kong’s Hang Seng index fell nearly 2.5%, while China’s CSI 300 declined by 1%. Japan’s Nikkei 225 dropped 0.4%, with the Topix slightly down by 0.32%. South Korea’s Kospi fell 1%, and the Kosdaq slipped 1.9%. Australia’s S&P/ASX 200 dipped 0.43%.
In the U.S., Friday saw a record close for the Dow Jones Industrial Average and S&P 500, marking their strongest week in a year, partly spurred by Donald Trump’s election victory. The Dow rose by 259.65 points to 43,988.99, briefly trading above 44,000 for the first time, while the S&P 500 reached 5,995.54, after trading over 6,000 briefly. The Nasdaq Composite had a modest increase of 0.09%, ending at 19,286.78.
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