Here for the Hong Kong Market but not really coming through with the hang seng now down and we saw the whole region on the downside. Lets take a look at futures in the overall benchmark. Msci down three quarters of 1 and other future suggesting positivity. Things can markedly change. Yvonne so much on tap. Not just news flow but also u. S. Earnings, earnings for the region. Massive data dumps in china so certainly a lot at risk. Taking a look at oil markets, commodity prices, a flight to safety. Youre seeing that on friday. Not so much today. Look at the yield curve, treasuries are higher. Recovering from the drop of 10 basis points. Rishaad the yield can just move down and a curve steepening play going to make a comeback, thats the feeling. We have the fed at the forefront. Trying to pivot away from this layer of hawkishness suggesting that Interest Rates may not move but certain bits of data did contradict that. But of course weve seen volatility in the bond market continuing as well
Still when it comes to wage gains. Annabelle thats right. We saw a real wages down 2. 5 from a year earlier in march. That was actually the deepest drop we have seen in four months. The running streak of declines is now 24 months. Certainly there has been a real question for japanese government officials. When they start to see inflation being driven by the demandside or would it still be from the supply side . This is perhaps the numbers that the boj would not want to see at this point in time. But that focus on the back of the wage numbers coming into the boj summary of opinions. A lot of different lines dropping out of this. But this need to raise rates appropriately and at the right time and the need to deepen talks on rate hike timing. Just some of the headlines dropping from that. Also they are saying it is vital to cut bond buying and supply dynamics. Here you have that Market Reaction so far this a slight bit of strength coming into the japanese yen. Nikkei 225 online this morn
Japanese Prime Minister for the first time in seven weeks, its actually an unusually short periods between talks for the two. Tells us perhaps its a bit of a shifting approach for the boj in terms of the yen direction and we could perhaps get the boj joining Government Officials in verbal intervention. This we know they are closely attuned to the economic impacts. Automaker stoxx, for instance, traditionally a key beneficiary of the weaker yen are now starting to see the negatives. Today we have the nikkei coming on a bit under pressure. Quite a rangebound day on wall street. So perhaps we are unlikely to see any major moves, especially ahead of key earnings from the likes of toyota. Lets switch to korea now. At the start of the day here, that outlook for korea is under pressure. But look at that big trading debut at the bottom, that is hd hyundai Marine Solution. Its and Ship Repair Company. It just started trading this morning in seoul after raising 500 550 million in its ipo, the bi
These are the biggest and the fourth Largest Companies including topix waiting. Definitely going to tell us how much companies are benefiting as well from those twin narratives of the weak yean and airelated booms. You have the nikkei coming online, 1 to the upside so far. Japanese yen of course, we have been tracking that trading. It has been fluctuating, but trading a little bit to the weaker side this morning and moving back up to that 154 mark. We did hear from finance officials in japan early this morning. The vice finance minister saying they are prepared to take appropriate action if fx moves are too rapid. But we have been speaking with different traders saying 165 could be possible by the end of the year. That is the state of play. Lets switch and take a look at korea so far on the session, because you are seeing more moves here to the upside. The kospi up 1. 6 , a little bit of strength coming into the korean won this morning. Reflecting the moves we have had in wall street o
Seeing the impact across asian fx as well with that weakness in the dollar. The aussie dollar holding steady. We are seeing brent crude trading a little bit higher. When it comes to oil, we are continuing to really monitor what we are seeing with that demandside concern. Saudi arabia jacking up their prices, pushing a little bit of upside momentum there. That was the biggest weekly drop for crude since february so still pretty shaky when it comes to the demand side of that equation. Annabelle that is right and its going to be quite an interesting session as well. We got a number of markets that are shut so far. There is japan, korea, and thailand in focus as well so perhaps when they do come back online, you will see the ketchup trade given the big runup we had in u. S. Equities on friday. The s p 500 gaining more than 1. 2 and as you said, it was that collective sigh of relief perhaps that the fed could have reason to cut sooner rather than later. Talk about last week, we had the pros