Global Markets:
- Asian Stock Markets : Nikkei up 1.26%, Shanghai Composite up 0.41%, Hang Seng up 2.5% ASX up 0.45%
- Commodities : Gold at $2747.35 (-0.06%), Silver at $31.25 (0.38%), Brent Oil at $80.69 (0.19%), WTI Oil at $77.4 (0.03%)
- Rates : US 10-year yield at 4.629, UK 10-year yield at 4.6555, Germany 10-year yield at 2.503
News & Data:
- (USD) Building Permits 1.48M vs 1.46M expected
- (USD) Housing Starts 1.50M vs 1.33M expected
Markets Update:
Asia-Pacific markets saw broad gains on Monday as investors awaited clarity on the policies of the incoming U.S. administration. Hong Kong’s Hang Seng Index surged 2.41%—its highest since Dec. 31—driven by consumer cyclicals and educational services. Mainland China’s CSI 300 rose 0.86% after the People’s Bank of China kept its benchmark lending rates unchanged, with the 1-year LPR at 3.1% and the 5-year at 3.6%. The offshore yuan strengthened slightly to 7.3345 per dollar, while the onshore yuan traded at 7.323.
Japan’s Nikkei 225 climbed 1.19%, while the Topix added 1.16%. South Korea’s Kospi dipped 0.18%, but the Kosdaq gained 0.48%. Australia’s S&P/ASX 200 advanced 0.46%. In Malaysia, December exports surged 16.9% year over year, far surpassing Reuters’ 8.8% forecast, while imports grew 11.9%. Hong Kong is set to release its unemployment figures later in the day.
Several Asian central banks are scheduled to meet this week. Malaysia’s central bank is expected to maintain its 3% policy rate on Wednesday. The Bank of Japan will hold its policy meeting from Jan. 23-24, with Governor Kazuo Ueda signaling a potential rate hike. Singapore’s Monetary Authority is set to convene on Friday.
In the U.S., major indices posted their first weekly gains of 2024. The Dow Jones rose 334.70 points, the S&P 500 gained 1%, and the Nasdaq advanced 1.51%. Meanwhile, Trump and Xi Jinping discussed trade, TikTok, and fentanyl on Friday, with Trump describing the talks as “very good.” U.S. markets will remain closed on Monday.
Upcoming Events:
- 03:30 PM GMT – CAD BOC Business Outlook Survey
