Global Markets:
- Asian Stock Markets : Nikkei up 1.26%, Shanghai Composite up 0.71%, Hang Seng up 0.42% ASX down 0.71%
- Commodities : Gold at $2327.5 (-0.17%), Silver at $29.28 (0.24%), Brent Oil at $84.73 (0.49%), WTI Oil at $81.31 (0.67%)
- Rates : US 10-year yield at 4.266, UK 10-year yield at 4.107, Germany 10-year yield at 2.415
News & Data:
- (CAD) CPI m/m 0.6% vs 0.3% expected
- (CAD) Core CPI m/m 0.6% vs 0.2% expected
- (USD) CB Consumer Confidence 100.4 vs 100.0 expected
Markets Update:
Asia-Pacific markets showed mixed results on Wednesday, influenced by Australia’s rising inflation and a surge in semiconductor stocks following Nvidia’s overnight rally. Australia’s headline inflation rate for May reached 4%, up from 3.6% in April, with core inflation also hitting 4%, exceeding the 3.8% forecast by economists. The higher-than-expected inflation may prompt the Reserve Bank of Australia (RBA) to consider raising interest rates, as recently discussed by RBA Governor Michelle Bullock.
Singapore’s factory output data for May, set to be released on Wednesday, is predicted to show a 2% year-on-year growth according to a Reuters poll of economists, compared to a 1.6% decline in April. Australia’s S&P/ASX 200 fell by 1.03%, weighed down by losses in non-energy minerals and retail trade sectors. Japan’s Nikkei 225 rose by 1.26% in morning trading, and the Topix index increased by 0.64%. South Korea’s Kospi gained 0.25%, while the Kosdaq remained nearly flat.
Semiconductor and related stocks saw significant gains: Advantest surged over 6%, while Taiwan Semiconductor Manufacturing Company, SK Hynix, and MediaTek rose by 1.38%, 4%, and 3.25%, respectively. Samsung Electronics, however, dropped by more than 0.2%. These gains followed a strong performance by Nvidia, whose shares closed 6.76% higher on Tuesday. Hong Kong’s Hang Seng index and mainland China’s CSI 300 both experienced slight declines.
In the U.S., the Dow Jones Industrial Average fell by 0.76%, closing at 39,112.16. The S&P 500 gained 0.39%, and the Nasdaq Composite advanced 1.26%, both ending three-day losing streaks, led by Nvidia’s rebound.
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