Global Markets:
- Asian Stock Markets : Nikkei up 0.42%, Shanghai Composite down 2.56%, Hang Seng up 2.98% ASX down 0.13%
- Commodities : Gold at $2659.35 (1.14%), Silver at $31.30 (2.04%), Brent Oil at $78.91 (2.66%), WTI Oil at $75.06 (2.52%)
- Rates : US 10-year yield at 4.078, UK 10-year yield at 4.2520, Germany 10-year yield at 2.259
News & Data:
- (USD) Core CPI m/m 0.3% vs 0.2% expected
- (USD) CPI m/m 0.2% vs 0.1% expected
- (USD) CPI y/y 2.4% vs 2.3% expected
- (USD) Unemployment Claims 258K vs 231K expected
Markets Update:
China stocks led declines in Asia-Pacific markets on Friday, as Wall Street benchmarks fell overnight following a U.S. inflation report. Mainland China’s CSI 300 index dropped 3.44% in afternoon trading, as the stimulus-driven rally lost momentum. Hong Kong markets were closed for a public holiday.
China’s Ministry of Finance will hold a press conference on Saturday, expected to announce a new fiscal stimulus package aimed at boosting the economy.
Investors also reacted to the Bank of Korea’s decision to cut its benchmark interest rate by 25 basis points to 3.25%, marking the end of a multi-year tightening cycle. South Korea’s inflation fell to 1.6% in September, below the central bank’s 2% target.
Oil prices retreated after rising more than 3% on Thursday amid concerns about Middle East tensions and increased fuel demand ahead of Hurricane Milton. Brent futures dipped 0.35% to $79.11 a barrel, while U.S. crude slipped 0.34% to $75.6 a barrel.
Japan’s Nikkei 225 gained 0.4%, supported by financial and healthcare sectors, while the broader Topix fell 0.24%. South Korea’s Kospi and Kosdaq both closed slightly lower, and Australia’s S&P/ASX 200 fell 0.1%.
In the U.S., the S&P 500 lost 0.21%, the Dow Jones dropped 0.14%, and the Nasdaq Composite dipped 0.05%. U.S. inflation rose 0.2% month-on-month, with annual inflation at 2.4%, slightly above forecasts, raising concerns about the Federal Reserve’s pace of future rate cuts.
Upcoming Events:
- 12:30 PM GMT – USD Core PPI m/m
- 12:30 PM GMT – USD PPI m/m
- 12:30 PM GMT – CAD Unemployment Rate
- 12:30 PM GMT – CAD Employment Change
