Tuesday Morning Coffee - Markets Update
Market Update: Equity markets are generally lower, modest moves generally seen; RBNZ rate decision and AU wages due on Wed
Tue, 21 Feb 2023 0:30 AM EST / 06:30 AM CET
Data release today:
21st of Feb - German Manufacturing PMI (09:30 AM CET), and Eurozone Manufacturing?PMI?(10:00 AM CET) data for February.
The equity markets are generally lower, with modest moves seen across various indices. The Reserve Bank of Australia (RBA) February minutes did not have a significant impact on the markets, and the ASX 200 opened 0.5% lower at 7,314. In New Zealand, bond yields rose ahead of the RBNZ decision, and Prime Minister Hipkins stated that Cyclone Gabrielle had a "multi-billion dollar" price tag. In China, the Hang Seng opened 0.1% lower at 20,859, and the Shanghai Composite opened flat at 3,291. The China Securities Regulator (CSRC) expressed support for stable growth in the property market. The Nikkei 225 opened 0.2% lower at 27,486, and BOJ Dep Gov Amamiya stated that there is still a lot of work to do before his term ends, and it is appropriate to continue with monetary easing. In Korea, the Kospi opened 0.1% higher at 2,457, and SK is set to resume battery production for Ford F-150 EV. Taiwan Jan Export Orders came in better than expected, down 19.3% YoY. In Europe, Russian Telegram channels are circulating unverified chatters about tomorrow's Pres Putin address, and Saudi Oil Min Abdulaziz stated that OPEC+ is flexible enough to change decisions when required.
General Trend:
- No major impact seen from the RBA minutes
- NZ bond yields rise ahead of RBNZ decision
- HSBC volatile following results/capital returns announcement
- BHP trades flat following results
- US markets return from holiday on Tues
- Russia Putin comments in focus (0900 GMT)
***Headlines/Economic Data***
Australia/New Zealand
- ASX 200 opens -0.5% at 7,314
- *(AU) RESERVE BANK OF AUSTRALIA (RBA) FEB MINUTES: Considered two options at meeting [either 25bps or 50 bps rate hike]; Members noted that?wages?growth had continued to pick up. Private sector wages growth had been stronger than expected in the September quarter and a?stronger outcome than previously forecast was expected for the December quarter.
-?*(AU) AUSTRALIA FEB PRELIMINARY PMI MANUFACTURING: 50.1 V 50.0 PRIOR (34th month of expansion)
-?(NZ) New Zealand Q4 PPI Input Q/Q: 0.5% v 0.8% prior; Output Q/Q: 0.9% v 1.6% prior
- (NZ) Prime Minister Hipkins statement: Cyclone Gabrielle brings a "multi billion dollar" price tag (NZ$)
China/Hong Kong
- Hang Seng opens -0.1% at 20,859
- Shanghai Composite opens flat 3,291
- (CN) China Jan YTD FDI (CNY-denominated) Y/Y: 14.5% v 6.3% prior
- (CN) China Securities Regulator (CSRC): Support stable growth in property market
- (HK) Chinese mainland and Macao SAR will recognize each other’s driving license for compact cars and compact automatic cars starting from May 16th - Global Times
- China PBOC sets Yuan reference rate: 6.8557 v 6.8643 prior
领英推荐
Japan
- Nikkei 225 opens -0.2% at 27,486
- (JP) BOJ Dep Gov Amamiya: Still alot of work to do before my terms ends; Difficult to judge timing of policy exit; Appropriate to continue with monetary easing – Parliament [from Feb 20th]
- (JP) BOJ Gov Kuroda: Reiterates FX rates move on various factors
- (JP) Japan sells ￥1.2T v ￥1.2T indicated in 1.400% 20-Year JGB Bonds; Avg Yield: 1.3060% v 1.3410% prior, bid-to-cover: 3.05 v 3.40x prior
- *(JP) JAPAN FEB PRELIMINARY PMI MANUFACTURING: 47.4 V 48.9 PRIOR (4th straight contraction)
Korea
- Kospi opens +0.1% at 2,457
- SK said to resume battery production line for?Ford?F-150 EV - South Korea press
- (KR) South Korea Feb 1-20th Day Exports Y/Y: -2.3% v -2.7% prior; Imports Y/Y: 9.3% v 9.3% prior; Chip Exports Y/Y: -43.9%
- (KR) South Korea Feb Consumer Confidence: 90.2 v 90.7 prior
- (KR) South Korea Q4 Household Credit (KRW): 1,867T v 1,870.6T prior [first decline in 10 years]
Other Asia
- (TW) Taiwan Jan Export Orders Y/Y: -19.3% v -24.0%e; Sees Feb orders down between -10.8% and -6.9% y/y
North America
- Mastercard and Visa said to be hit with ￡7.5B compensation claim from UK-based commercial litigation law firm Harcus Parker - Sky News
Europe
- (RU) Russian Telegram channels circulating unverified chatters that in tomorrow's Pres Putin address there will be no begging for negotiations, but will be 'a proposal to break the stalemate that is very elegant and unexpected'
- (SA) Saudi Oil Min Abdulaziz: OPEC+ is flexible enough to change decisions whenever is required
Levels as of 00:20 ET / 06:20 AM CET
- Nikkei 225, -0.2%, ASX 200 -0.2% , Hang Seng -1.3%; Shanghai Composite +0.1% ; Kospi +0.2%
- Equity S&P500 Futures: -0.4%; Nasdaq100 -0.4%, Dax flat; FTSE100 flat
- EUR 1.0689-1.0662 ; JPY 134.49-134.15 ; AUD 0.6919-0.6891 ;NZD 0.6262-0.6238
- Gold -0.2% at $1,846/oz; Crude Oil -1.1% at $76.56/brl; Copper -0.4% at $4.1623/lb
General news Information is provided by TradeTheNews.com
The article and the data is for general information use only, not advice!
The Trade Academy Team