Global Markets:
- Asian Stock Markets : Nikkei up 0.74%, Shanghai Composite down 0.25%, Hang Seng down 0.09% ASX up 0.69%
- Commodities : Gold at $2343.5 (0.43%), Silver at $30.58 (1.61%), Brent Oil at $78.73 (0.45%), WTI Oil at $74.59 (0.53%)
- Rates : US 10-year yield at 4.29, UK 10-year yield at 4.22, Germany 10-year yield at 2.50
News & Data:
- (USD) ISM Services PMI 53.8 vs 51.0 expected
- (CAD) Overnight Rate 4.75% vs 4.75% expected
Markets Update:
Equities in the Asia-Pacific region rallied as investors anticipated a rate cut from the European Central Bank, spurred by softer U.S. labor market data hinting at possible action by the Federal Reserve. Japan’s Nikkei 225 initially climbed but later moderated, while Australia’s S&P/ASX 200 edged higher despite a decline in exports. Hong Kong’s Hang Seng index rose before retreating, while China’s CSI 300 hovered near stability.
In India, the Nifty 50 and Sensex indexes extended gains following the formation of a new government led by Prime Minister Narendra Modi’s Bharatiya Janata Party. South Korea’s markets remained closed for a public holiday. Meanwhile, in the U.S., major tech stocks, led by Nvidia, surged alongside speculation of a potential Fed rate cut later in the year. The S&P 500 and Nasdaq Composite reached new highs, propelled by Nvidia’s significant gains.
However, the Dow Jones Industrial Average saw more modest growth as non-tech stocks underperformed. Overall, the market sentiment in the Asia-Pacific region remained optimistic amid expectations of monetary policy adjustments from central banks and positive political developments in India.
Upcoming Events:
- 12:15 PM GMT – EUR Main Refinancing Rate
- 12:30 PM GMT – USD Unemployment Claims
- 12:45 PM GMT – EUR ECB Press Conference
