Today’s Announcements & News
Asia-Pacific markets experienced declines as investors awaited key data releases, including Australia’s central bank’s rate decision and various inflation and business activity figures across the region.
The Reserve Bank of Australia was widely expected to maintain its benchmark policy rate at 4.1%, according to economists polled by Reuters. In response, Australia’s S&P/ASX 200 index fell by 0.45%.
South Korea reported a higher-than-expected inflation rate for August at 3.4%. Additionally, investors were keeping an eye on purchasing managers index (PMI) readings from China, India, and Hong Kong.
South Korea’s Kospi index declined by 0.19%, with the Kosdaq trading just below the flatline. Japan’s Nikkei 225 and Topix indices also hovered close to the flatline.
Futures for Hong Kong’s Hang Seng index pointed to a weaker opening compared to its previous close.
Stock futures in the U.S. are showing mixed performance on Monday night as the market enters a holiday-shortened week.
– Futures linked to the Dow Jones Industrial Average are down 37 points, representing a 0.11% decrease.
– S&P 500 futures have slipped 2.25 points, or 0.05%.
– Meanwhile, Nasdaq 100 futures have gained 6.25 points, indicating a 0.04% increase.
Last week saw a positive run for Wall Street, with the Dow and Nasdaq achieving their best performances since July. Over the week, the Dow rose by 1.4%, and the Nasdaq surged by around 3.3%, while the S&P 500 had its strongest week since June, advancing by 2.5%.
Investors have been assessing new economic data pointing to a slowing economy and reduced inflation pressures. The most recent U.S. nonfarm payrolls report revealed that the unemployment rate increased to 3.8% in August, its highest level in over a year, contrary to expectations for it to remain at 3.5%. Additionally, average hourly earnings grew by 4.3% year-over-year, slightly below the anticipated 4.4% increase as per economists polled by Dow Jones.
In the Asian morning trade on Monday, oil prices experienced a slight increase, bolstered by positive economic data from China and the United States. Additionally, expectations of continued crude supply cuts by major producers contributed to the positive market sentiment.
Brent crude rose by 17 cents or 0.2% to reach $88.72 per barrel.
U.S. West Texas Intermediate (WTI) crude increased by 25 cents or roughly 0.3% to reach $85.80 per barrel.
This price trend follows the recent performance where both Brent crude and WTI crude settled at their highest levels in over six months, ending a two-week period of losses.
In parallel, gold prices also saw gains on Monday, approaching a one-month peak reached in the previous session. This was supported by a modest decline in the U.S. dollar and the expectation that the U.S. Federal Reserve may hold off on further interest rate hikes this year.
Spot gold increased by 0.3% to reach $1,945.40 per ounce by 0334 GMT, after reaching as high as $1,952.79 on Friday.
U.S. gold futures added 0.2% to reach $1,971.70.
The above analysis is only for the views of market researchers and is for reference only and is not regarded as a specific investment suggestion.