Thursday 19th January 2023 : Japanese inventors continue to react to BoJ stance

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Global Markets:

  • Asian Stock Markets : Nikkei down 1.48%, Shanghai Composite up 0.13%, Hang Seng up 0.15%, ASX up 0.59%
  • Commodities : Gold at $1911.55 (+0.24%), Silver at $23.57 (-0.33%), Brent Oil at $83.86 (-1.32%), WTI Oil at $78.56 (-1.55%)
  • Rates : US 10-year yield at 3.321, UK 10-year yield at 3.337, Germany 10-year yield at 2.021

News & Data:

  • (AUD) Unemployment Rate 3.50% vs 3.40% expected
  • (AUD) Employment Change -14.6K vs 26.5K expected
  • (USD) Retail Sales m/m -1.10% vs -0.80% expected
  • (USD) PPI m/m -0.50% vs -0.10% expected
  • (USD) Core Retail Sales m/m -1.10% vs -0.50% expected
  • (USD) Core PPI m/m 0.10% vs 0.10% expected
  • (GBP) CPI y/y 10.50% vs 10.50% expected

Markets Update:

 Asian stock markets are trading mostly weak on Thursday, following the broadly negative cues from Wall Street overnight, on renewed concerns over the outlook for interest rates and recession fear as disappointing US data showed a more than expected drop in retail sales and industrial production. St. Louis US Fed President James Bullard also commented that the central bank needs to quickly hike interest rates above 5 percent, shelving much of the recent optimism over interest rates.

The Japanese stock market is significantly lower on Thursday, giving up some of the gains in the previous two sessions, with the Nikkei 225 falling below the 26,500 level, with weakness across most sectors, led by financial and technology stocks. The Australian stock market is notably higher, with gains in miners partially offset by weakness in technology and energy stocks.

Crude oil futures settled lower on Wednesday amid concerns about a possible U.S. recession. The dollar wound back London-trade losses in the New York session and made gains in Asia.

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