Global Markets:
- Asian Stock Markets : Nikkei down 0.11%, Shanghai Composite down 0.03%, Hang Seng down 0.43% ASX down 0.18%
- Commodities : Gold at $2527.35 (0.39%), Silver at $29.23 (0.71%), Brent Oil at $77.2 (-0.09%), WTI Oil at $73.02 (-0.08%)
- Rates : US 10-year yield at 3.845, UK 10-year yield at 3.963, Germany 10-year yield at 2.245
News & Data:
- (USD) Unemployment Claims 232K vs 232K expected
- (USD) Flash Manufacturing PMI 48.0 vs 49.5 expected
- (USD) Flash Service PMI 55.2 vs 54 expected
Markets Update:
Asia-Pacific markets mostly declined on Friday as investors awaited remarks from U.S. Federal Reserve Chairman Jerome Powell at the Jackson Hole gathering of global central bankers. Powell’s previous speeches at this event have often provided key insights into U.S. monetary policy.
In Japan, July’s headline inflation remained steady at 2.8%, unchanged from June. Core inflation, which excludes fresh food, rose to 2.7%, aligning with economists’ expectations and slightly higher than June’s 2.6%. However, the “core-core” inflation rate, excluding both fresh food and energy, dropped to 1.9% in July from 2.2% in June, marking its lowest level since September 2022.
Japan’s Nikkei 225 reversed earlier gains, ending down 0.11%, while the Topix edged up slightly. Bank of Japan Governor Kazuo Ueda addressed the country’s parliament, emphasizing the central bank’s heightened vigilance in response to market instability.
Elsewhere in the region, South Korea’s Kospi fell 0.51%, and the small-cap Kosdaq declined 0.58%. Australia’s S&P/ASX 200 dropped 0.18%. Hong Kong’s Hang Seng index was down 0.43%, and mainland China’s CSI 300 extended its losing streak to four days.
Overnight in the U.S., the Nasdaq Composite led losses, falling 1.67%, while the S&P 500 slipped 0.89%, and the Dow Jones Industrial Average declined 0.43%.
Upcoming Events:
- 12:30 PM GMT – CAD Core Retail Sales m/m
- 12:30 PM GMT – CAD Retail Sales m/m
- 2:00 PM GMT – USD Existing Home Sales
- 2:00 PM GMT – USD Fed Chair Powell Speaks
- 3:00 PM GMT – GBP BOE Gov Bailey Speaks
