Global Markets:
- Asian Stock Markets : Nikkei up 0.34%, Shanghai Composite down 0.09%, Hang Seng down 1.21% ASX up 1.15%
- Commodities : Gold at $3059.35 (0.60%), Silver at $34.5 (0.68%), Brent Oil at $71.35 (0.5%), WTI Oil at $67.51 (0.54%)
- Rates : US 10-year yield at 4.238, UK 10-year yield at 4.6305, Germany 10-year yield at 2.7980
News & Data:
- (USD) Federal Funds Rate 4.5% to 4.5% expected
Markets Update:
Asia-Pacific markets showed mixed results Thursday as China’s central bank held interest rates steady, following the U.S. Federal Reserve’s decision to keep benchmark rates unchanged.
Australia’s S&P/ASX 200 rose 1.02%, while South Korea’s Kospi gained 0.28%, and the small-cap Kosdaq climbed 0.55%. However, Hong Kong’s Hang Seng Index dropped 1.36%, and mainland China’s CSI 300 slipped 0.17% after Beijing opted to keep its key lending rates unchanged to balance economic growth and currency stability. The People’s Bank of China maintained the 1-year loan prime rate at 3.1% and the 5-year LPR at 3.6%, unchanged since a cut in October. Japan’s markets were closed for a holiday.
The Federal Reserve held interest rates at 4.25%–4.5% on Wednesday while signaling two potential rate cuts later this year. Their economic outlook included rising inflation and slower growth. Fed Chair Jerome Powell acknowledged recession concerns but downplayed the likelihood of a severe downturn.
U.S. stock futures remained stable after the major indexes rallied in response to the Fed’s outlook. The three key indexes closed higher, with the S&P 500 rebounding from correction territory. The Dow Jones Industrial Average rose 383.32 points (0.92%) to 41,964.63. The S&P 500 gained 1.08% to end at 5,675.29, while the Nasdaq Composite advanced 1.41% to 17,750.79.
Upcoming Events:
- 12:00 PM GMT – GBP Official bank Rate
