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Markets Update: The Asia-Pacific stock markets edged up for a third month in a row as investors awaited key economic data, corporate earnings, and the upcoming Federal Reserve policy meeting, with the focus remaining on the volatile Japanese yen and upcoming U.S. interest rate decisions.
Economic Calendar
Global Markets Roundup: 30 Apr 2024
The APAC region witnessed a modest rise in stock indices, marking its third consecutive month of gains. This uptick occurred against the backdrop of heightened anticipation among investors awaiting a plethora of economic indicators, corporate earnings releases, and the imminent policy meeting of the U.S. Federal Reserve.
The MSCI's broadest index of Asia-Pacific shares outside Japan demonstrated a 0.36% increase, signaling a nearly 1% monthly gain. Japan's Nikkei NI225 also saw a positive trajectory, rising by 1% as trading resumed following a holiday pause on Monday Concurrently, China's stock market exhibited mixed trends during early trading sessions, with the blue-chip index 3399300 experiencing a marginal ease of 0.07%, while Hong Kong's Hang Seng index (.HIS) displayed a 0.5% ascent.
Notably, the focus remains on the Japanese yen following a volatile start to the week. The yen, which witnessed a surge to 154.40 per dollar on Monday from a recent 34-year low, encountered suspected intervention measures aimed at stabilizing its value. Commenting on currency dynamics, Masato Kanda, Japan's top currency diplomat, reiterated the readiness of authorities to address foreign exchange matters around the clock. However, he refrained from confirming any intervention by the finance ministry on the previous day. The yen's decline has been influenced by the disparity between rising U.S. interest rates and Japan's persistently low rates, prompting capital outflows from yen-denominated assets. Conversely, a less hawkish tone from the Fed might bolster the yen's position.
Market sentiment regarding U.S. interest rates has been subject to fluctuations amid surprising inflation reports, with current expectations suggesting a reduced likelihood of rate cuts in 2024 compared to earlier projections. This shift in expectations has contributed to upward pressure on Treasury yields and the dollar. Simultaneously, the ongoing earnings season commands attention, with anticipated reports from tech giants such as Amazon (AMZN) and Apple (AAPL).
In currencies, the dollar DXYÂ was little changed at 105.73. The USDJPYÂ fell 0.38% to 156.92. The EURUSDÂ was 0.17% down to $1.0701. While the GBPUSDÂ was trading 0.16% down at $1.2541. Elsewhere, AUDUSDÂ influenced by worse than expected Australia retail sales was 0.53% lower at $0.653. The NZDUSDÂ traded 0.50% lower to $0.595.
In the global commodity markets, U.S. crude (CL1!) experienced a marginal decline to $82.48 per barrel, while Brent crude (BRN1!) hovered at $88.31, down by 0.1% on the day. Spot gold (GOLD) remained steady at $2,334.79 per ounce amidst prevailing market conditions. LME copper HG1! rose 0.5% to $10,189.50 a ton, nickel NICKEL1! was 0.5% up to $19,250, contrary the aluminium ALI1! was 0.2% lower to $2,585, and lead LEAD1! traded flat at $2,229.50.
In agricultural commodities, The most-active wheat contract on the Chicago Board of Trade (CBOT) ZW1! was down 1.1% at $6.01-3/4 a bushel by 0303 GMT after falling more than 2% on Monday. n other crops, CBOT soybeans ZS1! were down 0.6% at $11.74-3/4 a bushel and corn ZC1! fell 0.4% to $4.47-1/2 a bushel.  July robusta coffee RC2! was 0.3% up, to $4,164 a ton. July arabica coffee KC2! was 1.6% higher at $2.2750 per lb. July New York cocoa on ICE CC2! ​​was 15.7% lower, at $8,931 a metric ton. July London cocoa C2! ​​traded 14.5% down to 7,678 pounds per ton.
Looking forward today, we have German Retail Sales and Import Prices, German Unemployment data, German and Italian GDP growth rate, EU and Italy Inflation Rate, Canada GDP, US Chicago PMI.
General news - Information source from multiple newswires.
The article and the data is for general information use only, not advice!
The Trade Academy Team
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