Global Markets:
- Asian Stock Markets : Nikkei
down 0.52%, Shanghai Composite down 0.44%, Hang Seng down 0.30%, ASX down 0.82% - Commodities : Gold at $1491.25
(+0.04%), Silver at $17.79 (-0.21%), Brent Oil at $61.04 (-0.89%), WTI Oil at
$55.27 (-0.49%) - Rates : US 10-year yield at
1.826, UK 10-year yield at 0.713, Germany 10-year yield at -0.353
News & Data:
- (AUD) Trimmed Mean CPI q/q
0.40% vs 0.40% expected - (AUD) CPI q/q 0.50% vs 0.50%
expected - (GBP) Parliament Brexit Vote
Pass - (USD) CB Consumer Confidence 125.9
vs 128.2 expected - Japan retail sales jump the
most since 2014, outlook murky - BNZ says Reserve Bank sounding
less committed to November rate cut
Markets Update:
Asian stock markets are mostly lower on
Wednesday following the negative lead overnight from Wall Street amid caution
ahead of the U.S. Federal Reserve’s highly anticipated monetary policy decision
later today. The Fed is widely expected to cut interest rates by another
quarter point. Meanwhile, a report from Reuters that suggested a phase one trade
deal between the U.S. and China may not be signed by a summit in Chile next
month dampened sentiment.
The Nikkei 225 in Japan slipped 0.5% in
afternoon trade while the Topix index was just fractionally higher. An earlier
data release on Wednesday showed Japanese retail sales in September surged 9.1%
as compared to a year earlier, above expectations of a 6.9% increase from a
Reuters poll. Mainland Chinese shares declined by the afternoon, with the
Shanghai composite slipping 0.4% and the Shenzhen component shedding 0.5%. South
Korea’s Kospi traded down 0.8% as shares of Samsung Electronics fell more than
1% ahead of the industry heavyweight’s earnings release.
Meanwhile,
Australian shares declined as the S&P/ASX 200 slipped 0.8%. Data from the
Australian Bureau of Statistics showed Wednesday that the consumer price index
for the September quarter rose 0.5%, as compared to a 0.6% increase in the
previous quarter.
Fading expectations of aggressive rate cuts
by the Fed have lifted the two-year U.S. bond yield to 1.644%, compared with a
two-year low of 1.368% in early October. Sterling wobbled after Britain decided
to hold an election on Dec. 12 following Prime Minister Boris Johnson winning
approval from parliament for an early ballot aimed at breaking the Brexit
deadlock.
Oil prices slipped after an industry report
that stocks at the Cushing delivery hub for the benchmark rose last week,
shrugging off a drop in overall inventories.
Upcoming Events:
- 12:15 PM GMT – (USD) ADP Non-Farm Employment Change
- 12:30 PM GMT – (USD) Advance GDP q/q
- 12:30 PM GMT – (USD) Advance GDP Price Index q/q
- 02:00 PM GMT – (CAD) BOC Monetary Policy Report
- 02:00 PM GMT – (CAD) BOC Rate Statement
- 02:00 PM GMT – (CAD) Overnight Rate
- 02:30 PM GMT – (USD) Crude Oil Inventories
- 03:15 PM GMT – (CAD) BOC Press Conference
- 06:00 PM GMT – (USD) FOMC Statement
- 06:00 PM GMT – (USD) Federal Funds Rate
- 06:30 PM GMT – (USD) FOMC Press Conference
- &more…
