Equities trade generally lower, some attention has been given to Poland

Asia Market Update: Equities trade generally lower; Some attention has been given to Poland; Little impact seen from AU wage data, AU jobs figures due on Thurs; UK CPI in focus.

General trend

- US President Biden: Based on trajectory Unlikely missile that landed in Poland originated from Russia [follows G7 meeting].

- USD rises [particularly against PLN, CNH and JPY].

- PLN erased decline [US officials said initial findings suggests the missile that hit Poland was fired by Ukraine forces at incoming Russian missile – Press].

- Chinese property developers drop amid debt restructurings and equity raises; Property prices also extended declines.

- Tencent to report after the HK close.

Headlines/economic data

Australia/New Zealand

-ASX 200 opened flat.

- (AU) IMF urges Australia to continue monetary and fiscal tightening, expects country to avoid a recession, but notes major downside risks.

- (AU) Australia Oct Westpac Leading Index M/M: -0.1% v -0.1% prior.

- (AU) Australia sells A$900M v A$900M indicated in 3.00% Nov 2033 bonds; Avg Yield: 3.7327%; bid-to-cover 2.12x.

- (AU) Australia PM Albanese held private talks with China President Xi on Tuesday amid the G20 summit (as expected) – press.

- (AU) AUSTRALIA Q3 WAGE PRICE INDEX Q/Q: 1.0% V 0.9%E (HIGHEST SINCE MAR 2012); Y/Y: 3.1% V 3.0%E (HIGHEST SINCE 2013).

- (NZ) New Zealand Sept Non-Resident Bond Holdings: 58.4% v 57.7% prior.

Japan

-Nikkei 225 opened +0.1%.

- (JP) JAPAN SEPT CORE MACHINE ORDERS M/M: -4.6% V +0.7%E; Y/Y: 2.9% V 7.4%E.

- (JP) Bank of Japan (BOJ) offers to buy 5-10 year JGBs at fixed rate of 25bps; Opens window to buy unlimited amount of 10-year JGBs at 0.25% [as expected].

- (JP) Japan Sept Tertiary Industry Index M/M: -0.4% v +0.6%e.

Korea

-Kospi opened +0.3%.

- (KR) South Korea financial regulator to hold a session to explain requirements to launch an alternative trading system (ATS) for securities on Nov 25th (Fri) – local press.

China/Hong Kong

-Hang Seng opened -0.9%; Shanghai Composite opened flat.

- (HK) Xinyuan Property Management Service (Cayman) [1895.HK] halts trading [relates to pledge agreements].

- (CN) China PBOC Open Market Operation (OMO): Sells CNY71B in 7-day reverse repos v CNY172B prior; Net inject CNY63B v net inject CNY170B prior.

- (CN) China PBOC said to potentially cut the Loan Prime Rate (LPR) to stabilize the economy [in line]; banks are likely to cut the 5-year LPR - Chinese Press.

- (CN) China PBOC sets Yuan reference rate: 7.0363 v 7.0421 prior.

- (CN) CHINA OCT NEW HOME PRICES M/M: -0.4% V -0.3% PRIOR (14TH STRAIGHT DECREASE); Y/Y: -1.6% V -1.5% PRIOR.

- (CN) China State Planner (NDRC): Q4 growth recovery still needs arduous work due to COVID; Policies to stabilize growth and to take effect mostly during Q4.

- (CN) China New Energy Vehicle Sales YTD to Nov 10th +78.1% y/y, electric car tax breaks total CNY68.6B.

- (CN) US-China Economic and Security Review Commission Annual Report: recommends Congress direct the Administration to produce within 90 days an interagency report coordinated by the Office of the U.S. Trade Representative to assess China’s compliance with the terms and conditions of the 1999 Agreement on Market Access.

- (US) Treasury Official: Treasury Sec Yellen and PBOC Gov Yi Gang met for 2 hours; Said to have spoke on high and volatile energy and commodity prices.

Other

- (SG) Monetary Authority of Singapore (MAS): Expects outstanding SGS bonds growing at a slower pace in 2023; To restart 50-year SGS Green infrastructure bonds in H2 of 2023.

North America

- QCOM First devices with snapdragon 8 Gen 2 expected by the end of this year.

- (US) Former President Trump has filed to run for President in 2024 (as speculated).

- (UR) US President Biden: Based on trajectory Unlikely missile that landed in Poland originated from Russia [follows G7 meeting].

- (US) Treasury Official: Treasury Sec Yellen and PBOC Gov Yi Gang met for 2 hours; Said to have spoke on high and volatile energy and commodity prices.

Europe

- (PL) Poland Foreign Min: Russia produced rocket has fallen on a Polish Village at 15:40 local time; Summoned Russian Ambassador.

- (RU) NATO ambassadors to hold emergency meeting on Russia rocket hitting Poland.

- (PL) Poland PM Morawiecki: Have decided to increase monitoring of airspace; No indications there will be a repeat of incident.

- (UK) UK Regulator OFCOM may impose a requirement that Social Media companies disclose algorithms - FT.

- (UK) Council Tax Caps expected to be eased despite the local authority funding crises; To allow Local Authorities to increase tax to max 4.99% (from current cap of 2.99%) - FT.

Levels as of 00:20 ET

- Nikkei 225, +0.2%, ASX 200 -0.3% , Hang Seng -1.2%; Shanghai Composite -0.3% ; Kospi -0.3%.

- Equity S&P500 Futures: +0.1%; Nasdaq100 +0.1%, Dax -0.5%; FTSE100 -0.4%.

- EUR 1.0387-1.0331 ; JPY 140.29-138.73 ; AUD 0.6771-0.6730 ;NZD 0.6169-0.6130.

- Gold flat at $1,776/oz; Crude Oil -0.7% at $86.28/brl; Copper -0.9% at $3.7880/lb