TradeTheNews.com Staff
TradeTheNews.com
General trend
- Australian bond yields rose ahead of syndicate pricing.
- Weaker data seen out of Australia [Oct AIG Services Index; Nov Westpac Consumer Confidence; Oct NAB Business Confidence].
- NZ inflation expectations accelerated.
- Japanese cos. due to report earnings include Nintendo, Sumco, Suzuki, Inpex, NTT.
Headlines/economic data
Australia/New Zealand
- ASX 200 opened +0.1%.
- JHX.AU Reports Q2 adj Net $176M v $155M y/y, EBIT $218.5M v $205.7M y/y; Rev $998M v $903.2M y/y; Announces New Capital Allocation Framework, including $200M share buyback.
- WBC.AU Gives FY23 outlook: looking to grow lending broadly in line with major bank peers, particularly given the plans we have in place in mortgages and the better growth we achieved in 2022 across business, commercial and institutional lending – AGM.
- (AU) Australia Oct CBA Household Spending M/M: +0.9% v -0.5% prior; Y/Y: 7.4% v 14.1% prior.
- (AU) Australia Oct AIG Services Index: 47.7 v 48.0 prior (2nd consecutive contraction).
- SGM.AU Guides H1 (A$) underlying EBIT 65-75M v 361.7M y/y – AGM.
- (AU) Australia Nov Westpac Consumer Confidence: 78.0 v 83.7 prior; M/M: -6.9% v -0.9% prior (nearing historic lows).
- (AU) Australia sells A$150M v A$150M indicated in 0.25% Nov 2032 Inflation-indexed bonds; Avg Yield: 1.6285%; bid-to-cover 3.30x.
- (AU) Australia Oct NAB Business Confidence: 0 v 5 prior (10 month low); Business Conditions: 22 v 23 prior.
- (AU) Australia Debt Agency (AOFM) Prices A$14B in 3.75% May 2034 Syndicated bonds at 4.145%.
- (NZ) New Zealand Q4 Inflation Expectation Survey (2-year outlook): 3.6% v 3.1% prior.
Japan
- Nikkei 225 opened +0.7%.
- (JP) Japan Oct FX Reserves: $1.19T v $1.24T prior; Foreign Securities Holdings: $941B v $985B m/m.
- (JP) Japan govt considering raising taxes on ultra-rich individuals – Nikkei.
- (JP) Bank of Japan (BOJ) Summary of Opinions: Japan's consumer inflation likely to continue accelerating as firms pass on higher costs.
- (JP) Japan to exclude reactor halt period from 60-year lifespan - Japan press.
- (JP) Japan Sept Labor Cash Earnings Y/Y: 2.1% v 1.7%e; Real Cash Earnings Y/Y: -1.3% v -1.8%e.
- (JP) Japan Sept Household Spending Y/Y: 2.3% v 2.7%e (1st increase in 3 months).
- (JP) Japan Sept Preliminary Leading Index CI:97.4 v 97.6e; Coincident Index: 101.1 v 101.1e.
- NTT 9432.JP Reports H1 Net ¥696.6B v ¥675.8B y/y, Op ¥996.5B v ¥1.0T y/y, y/y, Rev ¥6.29T v ¥5.89T y/y; Announces ¥150B share buyback.
- (JP) Japan Govt said to be adding ~¥1.4T of loans for the second extra budget - Press citing a draft.
- (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) Shizuoka Prefecture (Japan) cancels 20-year bond sale; cites rise in super-long rates - US financial press.
Korea
- Kospi opened +0.6%.
- (KR) South Korea Sept Current Account (BOP): +$1.61B v -$3.05B prior; Balance of Goods (BOP): +$0.5B v -$4.4B prior.
- 017670.KR CEO Ryu Young-sang: Targeting KRW40T market cap by 2026 (currently KRW11.3T) - Town hall.
China/Hong Kong
- Hang Seng opened +0.3%; Shanghai Composite opened flat.
- (CN) China PBOC Open Market Operation (OMO): Sells CNY2.0B in 7-day reverse repos v CNY2.0B prior; Net drain CNY13B v net drain CNY68B prior.
- (CN) Reportedly China leaders consider steps toward reopening; No timeline set, but a return to pre-pandemic levels of activity not likely before end-2023 - US financial press [from Nov 7th].
- (HK) Macau said to be easing entry rules for foreigners starting Nov 13th [Sun] - Press.
- (CN) China former SAFE Official Tao: CNY moves are not affecting China Financial stability.
- (HK) Hong Kong Monetary Authority (HKMA) Official: Will continue monitoring capital instrument call developments (response to question on perpetuals).
North America
- (US) Fed's Barkin (non-voter): Would have made sense if Fed had started tightening earlier; seeing promising signs on inflation.
- (US) NHC issues update on Subtropical storm Nicole: Tropical Storm Warning has been issued from Hallandale Beach Florida northward to Altamaha Sound Georgia.
- NVDA In Q3 begun production of new GPU chip [A800] for customers in China as an alternate to the A100 chip - Press.
Europe
- (UK) Reportedly UK to announce a 'major' LNG gas purchase deal with the US after the COP27 climate summit - UK press.
- (UK) Fin Min Hunt reportedly considering a fresh tax on inheritance – Telegraph.
- (UK) Oct BRC Sales LFL Y/Y: 1.2% v 1.8% prior; Sales growth slowed in October as a surge in prices pushed more consumers to focus on essentials instead of new clothing and household accessories.
Levels as of 00:20 ET
- Nikkei 225, +1.3%, ASX 200 +0.4% , Hang Seng -0.6%; Shanghai Composite -0.7% ; Kospi +1%.
- Equity S&P500 Futures: -0.2%; Nasdaq100 -0.2%, Dax -0.1%; FTSE100 -0.6%.
- EUR 1.0031-1.0002 ; JPY 146.78-146.31 ; AUD 0.6490-0.6451 ;NZD 0.5953-0.5919.
- Gold -0.5% at $1,671/oz; Crude Oil -0.4% at $91.44/brl; Copper -0.8% at $3.5715/lb.
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