Asia Market Update: Modest equity gains generally seen following the US FOMC minutes; USD declines; BOK rate decision inline.
- Possible China RRR cut in focus [China Cabinet said: Will make RRR cuts at appropriate time].
- HK Mainland Properties Index moves sharply higher; Shanghai Property index declines [China PBOC and CBIRC bank regulator issue guidelines to support property market; urges stable financing].
- Japan markets rise following holiday.
- Thursday is a US holiday.
- China’s Commerce Ministry (MOFCOM) sometimes holds weekly news conferences on Thurs.
- ASX 200 opened flat.
- (NZ) New Zealand sells NZ$400M v NZ$400M indicated in 2025, 2032 and 2037 bonds.
- (AU) S&P: Australia Nonconforming Home Loan Arrears Rose In Sept.
- Nikkei 225 opened +0.9%.
- (JP) Bank of Japan (BOJ) offers to buy 5-10 year JGBs at fixed rate of 25bps; Opens window to buy unlimited amount of 10-year JGBs at 0.25% [as expected].
- (JP) JAPAN Nov preliminary PMI manufacturing: 49.4 V 50.7 PRIOR (1st contraction in 22 months and lowest since Nov 2020).
- (JP) Japan PM Kishida: Not considering year end cabinet reshuffle; Certain election expense receipts were missing, to ensure it does not happen in the future.
- (JP) Japan PM Kishida urged China's Xi to ease Covid restrictions in China - Japanese press.
- Kospi opened +0.8%.
- (KR) Bank of Korea (BOK) raises 7-day repo rate by 25BPS TO 3.25%; As expected.
- Hang Seng opened +0.9%; Shanghai Composite opened +0.2%.
- (CN) China Ministry of Finance (MOF) sells 3-year bonds: Avg yield 2.28% v 2.2295% prior.
- (HK) Hong Kong Monetary Authority (HMKA): No need or intention to change HK$ Peg to USD.
- (CN) China PBOC Open Market Operation (OMO): Sells CNY8.0B in 7-day reverse repos v CNY2.0B prior; Net drain CNY124B v net CNY69B prior.
- (CN) China PBOC sets Yuan reference rate: 7.1201 v 7.1281 prior.
- (CN) China People's Daily: Must be quick in stopping coronavirus spread.
- (SL) Sri Lanka Central Bank (CBSL) leaves Key Rates unchanged (as expected).
- AAPL Working with Foxconn on staff concerns; Have team on the ground at Zhengzhou facility.
- (CA) Bank of Canada (BoC) Rogers: There does not appear to be much contagion between crypto trading market and conventional financial markets; We are watching carefully.
-(US) Weekly EIA Natural Gas inventories: - 80 BCF VS. -86 BCF TO -88 BCF indicated range.
-(US) FOMC Nov minutes: participants concurred there were very few signs of inflation pressures abating; substantial majority judged a slowing in pace of hikes would likely soon be appropriate.
-(DE) German Bundesbank Monthly Report: Inflation could stay in double digits into 2023.
-(EU) ECB's Stournaras (Greece): Now sees more reasonable rate hikes - podcast.
-(UK) BOE’s Pill (chief economist): BoE must keep financial stability and monetary policy distinct.
-(EU) ECB's Centeno (Portugal): We are near rate levels compatible with price stability in mid term.
-(EU) Reportedly EU talks on Russia oil price cap have stalled over price level; Negotiations continue - press.
Levels as of 00:20 ET
- Nikkei 225, +1.1%, ASX 200 +0.1% , Hang Seng +0.4%; Shanghai Composite -0.3% ; Kospi +0.9%.
- Equity S&P500 Futures: +0.2%; Nasdaq100 +0.2%, Dax +0.1%; FTSE100 +0.1%.
- EUR 1.0448-1.0392 ; JPY 139.65-138.61 ; AUD 0.6768-0.6723 ;NZD 0.6270-0.6220.
- Gold +0.5% at $1,755/oz; Crude Oil -0.2% at $77.75/brl; Copper +0.2% at $3.6505/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.