Global Markets:
- Asian Stock Markets : Nikkei down 1.03%, Shanghai Composite down 0.17%, Hang Seng down 0.48% ASX up 0.31%
- Commodities : Gold at $2527.35 (0.09%), Silver at $28.5 (0.31%), Brent Oil at $72.90 (0.49%), WTI Oil at $69.2 (0.48%)
- Rates : US 10-year yield at 3.764, UK 10-year yield at 3.936, Germany 10-year yield at 2.2173
News & Data:
- (CAD) Overnight Rate 4.25% vs 4.25% expected
Markets Update:
Asia-Pacific markets experienced mixed results on Thursday following a sell-off in the previous session. Japan’s Nikkei 225 dropped nearly 1%, while the broader Topix saw a slight gain. This movement followed the release of Japan’s July wage data, which showed a 3.6% year-on-year increase in average monthly earnings, a softer rise compared to June’s 4.5%. Real wages grew by 0.4%, continuing an upward trend. The positive wage report could provide the Bank of Japan with more room to raise interest rates, potentially putting pressure on equities.
Meanwhile, South Korea’s Kospi fell slightly, and the Kosdaq lost 1%, though SK Hynix shares jumped 3.36% on news of plans to start mass-producing HBM3E chips by September’s end. Australia’s S&P/ASX 200 rose 0.3%, supported by a 0.7% increase in exports for July, while imports declined.
Hong Kong’s Hang Seng index slipped 0.48%, and China’s CSI 300 edged up. Optimism grew among Chinese developers as reports indicated potential interest rate cuts to support the struggling property sector. China Vanke shares rose 1.5%, and Logan Group gained 1.32%.
In the U.S., both the S&P 500 and the Nasdaq Composite recorded their second consecutive day of losses, down 0.16% and 0.3%, respectively, while the Dow Jones Industrial Average managed a small gain of 0.09%.
Upcoming Events:
- 12:15 PM GMT – USD ADP Non-Farm Employment Change
- 12:30 PM GMT – CAD Labor Productivity q/q
- 12:30 PM GMT – USD Unemployment Claims
- 1:45 PM GMT – USD Final Services PMI
- 2:00 PM GMT – USD ISM Services PMI
