Global Markets:
- Asian Stock Markets : Nikkei up 0.68%, Shanghai Composite down 0.89%, Hang Seng up 0.46% ASX down 0.95%
- Commodities : Gold at $2047.5 (-0.32%), Silver at $22.67 (-0.74%), Brent Oil at $77.65 (0.76%), WTI Oil at $72.67 (0.57%)
- Rates : US 10-year yield at 4.08, UK 10-year yield at 3.9525, Germany 10-year yield at 2.231
News & Data:
- (USD) Average Hourly Earnings m/m 107k vs 148K expected
- (USD) Non-Farm Employment change 0.9% vs 1.0% expected
- (USD) Unemployment Rate 1.2M vs -0.8M expected
Markets Update:
Asian markets began the holiday-shortened week with mostly lower performances, influenced by remarks from U.S. Federal Reserve Chair Jerome Powell, signaling a more gradual approach to rate cuts than anticipated by the market. Despite the People’s Bank of China’s recent decision to reduce reserve ratio requirements for banks taking effect, it did not provide a lift to the market.
In South Korea, the Kospi fell 1.47%, driven by losses in heavyweight Samsung Electronics, while the small-cap Kosdaq declined by 0.62%. Australia’s S&P/ASX 200 retreated by 0.95% from its recent all-time high, with markets awaiting an interest rate decision from the Reserve Bank of Australia.
In contrast, Japan’s Nikkei 225 climbed 0.68%, and the broader Topix rose by 0.66%. As Lunar New Year approaches, several Asian countries, including China, Taiwan, South Korea, Singapore, and Hong Kong, will observe shortened trading weeks.
Meanwhile, in the U.S., the S&P 500 reached a new record high, driven by strong quarterly results from technology companies, including Meta, and a better-than-expected January jobs report. The S&P 500 closed at 4,958.61, surpassing its previous record close of 4,927.93, with the Dow Jones Industrial Average also setting a new record at 38,654.42, and the Nasdaq Composite climbing by 1.7%.
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- 2:45 PM GMT – USD Final Services PMI
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