Global Markets:
- Asian Stock Markets : Nikkei up 0.70%, Shanghai Composite up 0.77%, Hang Seng up 2.30%, ASX up 0.76%
- Commodities : Gold at $1849.85 (+0.25%), Silver at $21.75 (+0.81%), Brent Oil at $85.88 (+0.59%), WTI Oil at $79.19 (+0.76%)
- Rates : US 10-year yield at 3.782, UK 10-year yield at 3.497, Germany 10-year yield at 2.459
News & Data:
- (AUD) Unemployment Rate 3.70% vs 3.50% expected
- (AUD) Employment Change -11.5K vs 19.8K expected
- (USD) Retail Sales m/m 3.00% vs 1.90% expected
- (USD) Empire State Manufacturing Index -5.8 vs -18.2 expected
- (USD) Core Retail Sales m/m 2.30% vs 0.90% expected
- (GBP) CPI y/y 10.10% vs 10.30% expected
Markets Update:
Asian stock markets are trading mostly higher on Thursday, following the broadly positive cues from global markets overnight, as traders shrugged off concerns over the outlook for interest rates following the release of US inflation data and upbeat US retail sales data. These data will encourage the US Fed to continue aggressively raising interest rates in an effort to combat inflation. Asian Markets closed mostly lower on Wednesday.
Australia’s ASX 200 index recovered sharply from a steep fall on Wednesday, as weaker-than-expected employment data ramped up hopes that the Reserve Bank will lack the sufficient economic headroom to keep raising interest rates. The Hang Seng index surged over 2.30% and was the best performer for the day. The index was largely supported by stellar gains in internet giants JD.com and Alibaba Group Holding Ltd, which rallied over 7% and 3%, respectively.
The Japanese stock market is significantly higher on Thursday, recouping the losses in the previous session, with the Nikkei 225 moving above the 27,700 level, following the broadly positive cues from global overnight, boosted by gains in some index heavyweights, automakers and technology stocks.
The U.S. dollar index is eying a third weekly gain in a row – the longest streak since September, when the index was galloping towards a 20-year high.
Upcoming Events:
- 01:30 PM GMT – (USD) Core PPI m/m
- 01:30 PM GMT – (USD) PPI m/m
- 01:30 PM GMT – (USD) Philly Fed Manufacturing Index
- 01:30 PM GMT – (USD) Unemployment Claims
- 10:30 PM GMT – (AUD) RBA Gov Lowe Speaks
