Global Markets:
- Asian Stock Markets : Nikkei up 2.20%, Shanghai Composite up 8.06%, Hang Seng up 1.05% ASX up 0.68%
- Commodities : Gold at $2660.35 (-0.24%), Silver at $32.10 (-0.74%), Brent Oil at $77.91 (-0.56%), WTI Oil at $74.16 (-0.32%)
- Rates : US 10-year yield at 3.990, UK 10-year yield at 4.1330, Germany 10-year yield at 2.212
News & Data:
- (USD) Non-Farm Employment Change 254K vs 147K expected
- (USD) Unemployment Rate 4.1% vs 4.2% expected
Markets Update:
Asia-Pacific markets mostly rose on Monday, with Japan’s Nikkei 225 leading the way, climbing nearly 2%. Investors are anticipating a series of central bank decisions across the region. Gains in the Nikkei were driven by financial and consumer cyclical stocks, including Mizuho Financial Group and Mitsubishi UFJ Financial Group. Nintendo shares surged over 3.8% following reports that Saudi Arabia’s sovereign wealth fund is considering increasing its stake in the company and other Japanese gaming firms.
The yen strengthened by 0.16% to 148.46 after hitting a two-month low earlier in the session. The U.S. dollar gained after a strong jobs report on Friday, reducing expectations of further rate cuts by the Federal Reserve. The yen remains under pressure as Japan’s new Prime Minister, Shigeru Ishiba, suggested that the Bank of Japan may not be ready for additional rate hikes.
This week, the Bank of Korea (BOK), Reserve Bank of New Zealand (RBNZ), and Reserve Bank of India (RBI) are set to announce their interest rate decisions. Economists expect rate cuts from the BOK and RBNZ, while the RBI is forecasted to hold rates steady.
In South Korea, the Kospi rose 0.98% and the Kosdaq gained 1.3%. Australia’s S&P/ASX 200 increased by 0.6%, with lithium stocks rallying on Rio Tinto’s interest in U.S. lithium producer Arcadium. Meanwhile, Hong Kong’s Hang Seng Index climbed 1.14%, while mainland China remained closed for Golden Week.
In the U.S., stocks advanced Friday after a better-than-expected jobs report boosted confidence in the economy.
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