Asia Market Update: Equity indices trade mixed, Chinese markets rise amid CPI data; AU and NZ 10-yr yields track rise in Treasury yields; CN property developer said to appoint receivers.

General trend

- China’s Nov inflation data was mixed; PPI slowed less than expected, CPI rose at slower than expected pace.

- Japan’s Q4 BSI survey rose; Some BOJ officials are focusing on the upcoming quarterly Tankan survey [Dec 13th].

- Japan’s M2 had slowest annual rise since Apr 2020 [BOJ’s Amamiya commented on the monetary base earlier this week].

- BOK commented on omicron, Korea 3-yr yield declines.

- USD Index rises after prior decline.

- Quiet session for CNH after prior rally.

- US equity FUTS have traded slightly lower.

- Nikkei 225 and S&P ASX 200 have also traded slightly down.

- Shanghai Composite rose by 1% during the morning session; Gainers included the Consumer and Property indices.

- Hang Seng rose by over 1% then pared gain; TECH index has moved higher; Property developer to sell convertibles (Hopson Development), Fantasia Holdings said to enter receivership.

- China’s Commerce Ministry (MOFCOM) sometimes holds weekly news conferences on Thurs.

- Japan Ruling Parties expected to complete tax plan by Dec 10th (Fri).

- Companies due to report during the NY morning include Ciena Corp, Hooker Furniture, Hovnanian, Hormel Foods.

Headlines/Economic data

Australia/New Zealand

- ASX 200 opened -0.1%.

- (AU) Reserve Bank of Australia (RBA) Board member Harper: Economy can run strong without high inflation; Labor participation is holding back wage growth.

- LHC.AU EBOS acquires acquire 100% of LifeHealthcare’s Australian & New Zealand subsidiaries and 51% of LifeHealthcare’s Asian subsidiary for A$1.2B.

- (AU) Reserve Bank of Australia (RBA) Gov Lowe: Regulators contine to review treatment of crypto assets and stablecoins, can see advantages in digital tokens backed by RBA - Payments: The future?

- (NZ) Reserve Bank of New Zealand (RBNZ) Deputy Gov Bascand: Warned Fin Min Robertson in August that if mortgage interest rates rose to 6% then about half of recent first-home buyers would struggle to service their loans.

- (NZ) New Zealand sells NZ$500M v NZ$500M indicated in 2024, 2032, and 2051 nominal bonds.

- (AU) Australia Total Weekly Payroll Jobs change Nov 13th: 0.2% v +1.3% prior; Wages Paid 0.0% v -0.9% prior.

- (AU) Port Hedland Exports Port Hedland Iron Ore Exports 43.4Mt v 46.7Mt prior.

Japan

- Nikkei 225 opened -0.1%.

- (JP) JAPAN Q4 BSI LARGE ALL INDUSTRY Q/Q: 9.6 V 5.0E; LARGE MANUFACTURING Q/Q: 7.9 V 7.0 PRIOR.

- (JP) Japan MoF sells ¥2.5T v ¥2.5T indicated in 0.005% 5-year JGBs; Avg Yield: -0.0860% v -0.077% prior, bid-to-cover 3.63x v 4.54x prior.

- (JP) Japan Nov M2 Money Supply Y/Y: 4.0% v 4.1%e (slowest rise since Apr 2020); M3 Money Supply Y/Y: 3.6% v 3.7%e.

Korea

- Kospi opened +0.2%.

- (KR) South Korea reports additional 7,102 coroanvirus cases (2nd consecutive day above 7.0K); Record number of Critical Care patients.

- (KR) Bank of Korea (BOK) Gov Lee to hold briefing on Dec 16th on H2 CPI.

- (KR) Bank of Korea (BOK) monetary policy report: Will adjust the extent of its loose monetary policy stance "appropriately" in consideration of inflation the pandemic and monetary policy directions of major economies - issued to lawmakers.

China/Hong Kong

- Hang Seng opened +0.7%; Shanghai Composite opened +0.1%.

- (CN) CHINA NOV CPI M/M: 0.4% V 0.3%E; Y/Y: 2.3% V 2.5%E (fastest pace since Aug 2020); PPI Y/Y: 12.9% v 12.1%e; Food CPI y/y: +1.6% v -2.4% prior.

- (CN) China Securities Journal: Analysts see further yuan strength in the short term; Yuan's two-way move trend remains unchanged – press.

- (CN) China PBOC said to see its special status starting to erode, with Govt starting to push its influence on the central bank.

- (CN) China Sec Journal: China could see 2022 CPI speeding up, while producer price index’s (PPI) gain may slow down due to a higher base and lower commodity prices; modest price increases will have limited impact on monetary policy.

- (CN) China PBOC sets Yuan reference rate: 6.3498 v 6.3677 prior.

- (CN) China PBOC Open Market Operation (OMO): Sells CNY10B in 7-day reverse repos v CNY10B prior; Net CNY0B v Net CNY0B prior.

- (CN) China State Planner (NDRC) Official Wu Xiao: Supports measures to boost consumption in rural areas, including subsidies for furniture and autos.

North America

- RETA CRDAC Panel (Yes 0; No 13; Abstain 0) votes Not in favor of support for bardoxolone methyl as effective in slowing progression of chronic kidney disease in Alport syndrome and benefits do not outweigh risk - CRDAC Meeting.

- (US) Trade Agency: Recommends maintaining solar tariffs for 4 years, with 0.25% annual decline.

Europe

- (UK) Nov RICS House Price Balance: 71% v 70%e.

Levels as of 00:15ET

- Hang Seng +1.0%; Shanghai Composite +1.2%; Kospi +0.4%; Nikkei225 -0.3%; ASX 200 -0.3%.

- Equity Futures: S&P500 -0.2%; Nasdaq100 -0.2%, Dax -0.1%; FTSE100 +0.1%.

- EUR 1.1347-1.1329; JPY 113.82-113.29; AUD 0.7177-0.7158; NZD 0.6816-0.6802.

- Commodity Futures: Gold +0.1% at $1,787/oz; Crude Oil +1.0% at $73.08/brl; Copper -0.2% at $4.37/lb.

All information provided by Trade The News (a product of Trade The News, Inc. "referred to as TTN hereafter") is for informational purposes only. Information provided is not meant as investment advice nor is it a recommendation to Buy or Sell securities. Although information is taken from sources deemed reliable, no guarantees or assurances can be made to the accuracy of any information provided. 1. Information can be inaccurate and/or incomplete 2. Information can be mistakenly re-released or be delayed, 3. Information may be incorrect, misread, misinterpreted or misunderstood 4. Human error is a business risk you are willing to assume 5. Technology can crash or be interrupted without notice 6. Trading decisions are the responsibility of traders, not those providing additional information. Trade The News is not liable (financial and/or non-financial) for any losses that may arise from any information provided by TTN. Trading securities involves a high degree of risk, and financial losses can and do occur on a regular basis and are part of the risk of trading and investing.

Feed news

Latest Forex Analysis


Latest Forex Analysis

Editors’ Picks

EUR/USD retains gains and trades around 1.1350

EUR/USD stays afloat in the positive territory near 1.1350 as the greenback struggles to gather strength on retreating US T-bond yields. Focus remains on mounting inflationary pressures and upcoming central banks’ announcements.

EUR/USD News

GBP/USD holds its ground in the positive territory above 1.3600

GBP/USD holds above 1.3600 in the second half of the day on Wednesday supported by the modest selling pressure surrounding the dollar. The benchmark 10-year US Treasury bond yield stays in the red in the early American session and the US Dollar Index edges lower toward 95.50.

GBP/USD News

Gold: Bullish breakout exposes November monthly high at 1,877.15

Spot gold trades above $1,840 a troy ounce, at levels last seen in November 2021. The bright metal soared through the American session amid persistent concerns about inflation and volatile US government bond yields. 

Gold News

Shiba Inu price has a good chance to surge to $0.000040

A brief technical and on-chain analysis on Shiba Inu price. FXStreet's analysts evaluate why SHIB could advance further. 

Read more

Yields everywhere are rising too far, too fast: Could we expect them to settle down?

Today we get housing starts and permits, but expectations are running low because of Omicron and bad weather. It’s not exactly an inspiring bit of data, anyway. In fact, the juicy data is from Canada, CPI today and retail sales on Friday. There is still chatter about a BoC hike next week. 

Read more

Majors

Cryptocurrencies

Signatures