Global Markets:
- Asian Stock Markets : Nikkei down 1.50%, Shanghai Composite down 0.48%, Hang Seng up 1.18% ASX up 0.31%
- Commodities : Gold at $2605.35 (-0.14%), Silver at $31.10 (-0.14%), Brent Oil at $73.08 (0.49%), WTI Oil at $69.8 (0.58%)
- Rates : US 10-year yield at 3.635, UK 10-year yield at 3.760, Germany 10-year yield at 2.120
News & Data:
- (CAD) Manufacturing Sales m/m 1.4% vs 0.7% expected
Markets Update:
Asia-Pacific stocks saw mixed performances on Tuesday, with Japan’s Nikkei 225 falling 2% as investors anticipated the Federal Reserve’s upcoming monetary loosening cycle. The Nikkei 225 dropped 1.46%, and the Topix decreased by 1.8%, with the yen strengthening for the sixth consecutive session, trading at 140.40 against the dollar. Overnight, the yen reached 139.58, its strongest level since July 2023.
The Federal Reserve is expected to announce its first interest rate cut since March 2022. However, there is uncertainty regarding the size of the cut, as the two-day policy meeting begins. U.S. retail sales data is also being closely watched to assess consumer health ahead of the Fed’s decision.
In Asia, Singapore’s non-oil domestic exports rose 10.7% year-on-year in August but fell 4.7% from the previous month, slightly below Reuters’ forecast of a 15% annual increase. Additionally, India’s wholesale prices for August are projected to have increased by 1.85% year-on-year, a cooler reading than July’s 2.04%.
Chinese appliance maker Midea Group’s shares surged over 9% in their Hong Kong debut, marking the city’s largest listing in over three years. Hong Kong’s Hang Seng index rose 1.5%, and Australia’s S&P/ASX 200 edged up 0.31%. South Korea, mainland China, and Taiwan’s markets were closed for a holiday.
In the U.S., the Dow Jones Industrial Average climbed 0.55% to a record high of 41,622.08, while the S&P 500 increased by 0.13%. Conversely, the Nasdaq Composite fell by 0.52%, affected by declines in tech stocks.
Upcoming Events:
- 12:30 PM GMT – CAD CPI m/m
- 12:30 PM GMT – CAD Median CPI y/y
- 12:30 PM GMT – CAD Trimmed CPI y/y
- 12:30 PM GMT – CAD Common CPI y/y
- 12:30 PM GMT – CAD Core CPI m/m
- 12:30 PM GMT – USD Core Retail Sales m/m
- 12:30 PM GMT – USD Retail Sales m/m
