Global Markets:
- Asian Stock Markets : Nikkei up 0.25%, Shanghai Composite up 0.61%, Hang Seng up 1.11% ASX up 1.07%
- Commodities : Gold at $2167.5 (0.14%), Silver at $24.67 (0.21%), Brent Oil at $83.53 (0.36%), WTI Oil at $79.67 (0.86%)
- Rates : US 10-year yield at 4.083, UK 10-year yield at 4.043, Germany 10-year yield at 2.292
News & Data:
- (USD) ISM Services PMI 52.6 vs 53.0 expected
- (USD) Final Services PMI 52.3 vs 51.4 expected
Markets Update:
Asia-Pacific markets rallied as U.S. Federal Reserve Chair Jerome Powell hinted at possible interest rate cuts, contingent on supportive inflation signals. Powell, addressing the Senate Banking Committee, did not provide a specific timeline but suggested the cuts would occur soon. In Australia, the S&P/ASX 200 surged by 1.07%, marking a third consecutive day of gains and reaching a record high.
Japan’s Nikkei 225 traded 0.25% higher, while the Topix declined by 0.30% due to unexpected drops in January household spending, raising concerns about inflation outpacing wage gains. South Korea’s Kospi rose by 1.3%, and the small-cap Kosdaq increased by 0.49%. Hong Kong’s Hang Seng index saw a 1.11% rise, and China’s CSI 300 recorded a 0.14% increase.
In the U.S., both the S&P 500 and Nasdaq Composite surged to record highs on hopes of easing inflation and tech sector gains, contributing to a midweek rebound on Wall Street. The S&P 500 climbed by 1.03% to 5,157.36, while the Nasdaq Composite rose by 1.51% to 16,273.38, achieving all-time highs during the session. The Dow Jones Industrial Average gained 0.34%, securing a closing record.
Upcoming Events:
- 1:30 PM GMT – CAD Employment Change
- 1:30 PM GMT – CAD Unemployment Rate
- 1:30 PM GMT – USD Average Hourly Earnings m/m
- 1:30 PM GMT – USD Non-Farm Employment Change
- 1:30 PM GMT – USD Unemployment Rate
