- The Bank of Korea as expected lowered interest rates by 25 bps to 4.00%, citing the slowing of the country's property market and large downside risks to growth. Today's rate cut follows the central bank's 75 bps rate cut on October 26. In its comments the Bank of Korea noted that the country's economic growth is expected to slow rapidly due to weaker export growth, and tighter credit . The central bank also noted that South Korea's exports to emerging markets have slowed. With respect to CPI, the Bank of Korea noted that inflation is expected to moderate. Looking forward the central bank said that future rate decisions will depend on conditions in financial markets and the economy. When the central bank cut rates on October 26 it noted that it would monitor inflation and downside risks to the economy in determining its next rate move. Following the rate decision, both the KRW and Kospi index reversed their losses and moved into positive territory.

- The USD and JPY were firmer against the European majors and commodities currencies at the start of Asian trading on risk aversion. However, both the USD and JPY have moved off of the session's best levels as Asian stocks moved off of the lows.

- Asian equities opened the session sharply lower but have since pared most of their losses. The Kospi is higher by more than 2%, the Nikkei closed lower by more than 3.5% , the Hang Seng is more than 1% higher, the Shanghai Composite is gaining by close to 2% and the S&P ASX 200 closed down 2.4%.

- Crude oil prices have moved higher by more than 0.40% and are trading above $61.00/bbl. Oil had declined by as much as 1%, earlier during the session but bounced after dipping below $60/bbl. Earlier during the session, Libya's oil minister noted that any OPEC decision to cut output quickly is premature and that he was not thinking of more OPEC output cuts currently. The official added that OPEC could meet before December, but this would depend on price movements. In the past, Libya had supported a Nov output cut. Spot Gold is higher by more than 0.20% and is tracking the rebound in oil prices.