Global Markets:
- Asian Stock Markets : Nikkei down 0.41%, Shanghai Composite down 1.45%, Hang Seng down 1.06% ASX down 1.08%
- Commodities : Gold at $2710.35 (-0.14%), Silver at $31.4 (-0.58%), Brent Oil at $73.4 (0.16%), WTI Oil at $70.4 (0.19%)
- Rates : US 10-year yield at 4.328, UK 10-year yield at 4.3620, Germany 10-year yield at 2.189
News & Data:
- (EUR) Main Refinancing Rate 3.15% vs 3.15% expected
- (USD) Core PPI m/m 0.2% vs 0.2% expected
- (USD) PPI m/m 0.4% vs 0.2% expected
- (USD) Unemployment Claims 242K vs 221K expected
Markets Update:
China’s stock markets led declines across Asia on Friday, with Hong Kong’s Hang Seng index dropping 1.39% and mainland China’s CSI 300 falling 0.94%. This followed Beijing’s affirmation of recent policy changes and its focus on boosting growth during a high-profile meeting on Thursday.
Other Asia-Pacific markets also dipped, tracking Wall Street’s losses after U.S. producer price inflation exceeded expectations. Japan’s Nikkei 225 declined 1.16%, and the Topix shed 1.12%. However, South Korea’s Kospi bucked the trend, gaining 0.23%, while the Kosdaq rose 1.01%. Internet giant Kakao surged over 5%, along with strong performances by its subsidiaries. Samsung Biologics, a major Kospi component, rose 3.6%.
Japan’s optimism was highlighted by the Bank of Japan’s Tankan survey, showing the Tankan index for large manufacturers rising to 14, beating expectations of 12. This optimism reflects improving business sentiment and informs BOJ’s monetary policy decisions.
Australia’s S&P/ASX 200 lost 0.69%, while India prepared to release its wholesale inflation figures for November. Economists anticipate a decline to 2.2% from October’s 2.36%, following a drop in consumer inflation.
In the U.S., the Dow Jones Industrial Average fell 0.53%, marking its sixth consecutive losing session after a hotter-than-expected 0.4% rise in November’s producer price index (PPI). The PPI’s annual growth of 3% was the highest since February 2023. The Nasdaq lost 0.66%, while the S&P 500 declined 0.54%, extending Wall Street’s slump.
Upcoming Events:
- 01:30 PM GMT – CAD Manufacturing Sales m/m
- 01:30 PM GMT – CAD Wholesale Sales m/m
- 01:30 PM GMT – USD Import Prices m/m
