GLOBAL MARKETS-Stocks dip, oil slides and havens shine as growth nerves nag

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* Brent crude’s loss was $80. raised below

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* Hang Seng leads decline in Asian stock markets

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* Yen up, Australian currency market down

SYDNEY, Nov 18 (Businesshala) – Stock markets slipped on Thursday and safe havens such as government bonds, gold and the yen found support in Asia, as signs of unease over interest rates and growth outlook, especially outside. United States of america.

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Oil prices plunged to a six-week low on concerns about oversupply and China, Japan and the United States dipping their fuel reserves, with Brent futures trading at $79.77, a three-year high from last month’s was higher than 8%. ,

The risk-sensitive Australian dollar also fell to a six-week trough of $0.7256.

Japan’s Nikkei was down 0.6% in early trade. MSCI’s broadest index of Asian shares outside Japan fell 0.5% and the S&P 500 futures index was flat after trading slightly lower overnight.

The mood was softest in Hong Kong, where concerns over an earnings outlook on tech stocks and a nearly 5% decline in heavyweight Alibaba pulled Hang Seng about 1% lower.

“We seem to have stalled somewhat,” said Jun Bei Liu, a portfolio manager at Tribeca Investment Partners in Sydney.

“Investors are probably taking a little break,” she said, in the wake of a strong US results season, but in the form of macroeconomic headwinds in the form of inflation and China’s slowdown.

The yen, a safe-haven asset that has been sensitive to oil prices recently, had its sharpest one-day jump against the dollar in three months on Wednesday, while gold rose nearly 1% and halted along the treasury curve.

In Asia, gold on Thursday rose 0.1% to $1,869 an ounce. The yen rose to 113.94 per dollar.

The benchmark 10-year Treasury yield was steady at 1.5889% in Tokyo after falling nearly 5.5 basis points overnight.

The day on the calendar is quiet, highlighted by the presence of central bankers in Australia, the United States and Europe, and US jobless claims data.

big dollar

The US dollar is bullish against a backdrop of apparent caution, as US data has turned surprisingly strong, raising doubts over the outlook for other major economies.

Wednesday’s data showed a jump in building permits and the home construction backlog rose to a 15-year high – underscoring strong demand on the heels of a better-than-expected retail sales report on Tuesday.

In contrast, Europe is grappling with a fourth wave of COVID-19 cases and new restrictions to curb it, while the central bank is under pressure to raise rates.

The euro has recovered from a trip below $1.13 on Wednesday but remains volatile at $1.1325 and is poised for its worst month on the dollar since June, when the Federal Reserve warned investors with a sharp change in tone. was surprised.

Currency traders are also anticipating a sharp downdraft in the Australian/Yen cross, which is often a barometer of market sentiment. It fell from its 200-day moving average on Tuesday and is down nearly 4% in a dozen sessions.

“You have the perfect storm for bears,” said Matt Simpson, senior analyst at brokerage City Index. “Basically and technically the Aussie/Yen looks great with low oil prices.”

Reporting by Tom Westbrook in Sydney Editing by Mr Navratnam


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