Asian equities advanced Friday after a rescue package for First Republic Bank fueled a rebound in US shares. Bond yields in the region moved higher as investors continue to weigh chances of further interest rate hikes. Indexes rose in Hong Kong, Japan and South Korea amid a rebound in banking shares. Baidu Inc. added to the positive sentiment after brokerages tested its just-unveiled ChatGPT-like service and granted it their preliminary approval. Technology stocks surged and were among the best performers on Friday. Even so, an Asia equity gauge was set for a second weekly loss after the recent turbulence in the banking sector. Contracts for the Euro Stoxx 50 index gained while S&P 500 and Nasdaq 100 futures were little changed. The S&P 500 notched its largest one-day advance since January on Thursday after the biggest US lenders agreed to contribute $30 billion in deposits to First Republic, easing speculation that the bank could be the next to fail after two high-profile demises touched off the crisis last week. Bond yields climbed about 19 basis points for Australia’s policy-sensitive three-year maturity and were also higher in New Zealand on Friday. The two-year Treasury yield rose about four basis points Friday following a 27 basis point jump to above 4% in the previous session. Traders who on Wednesday had largely abandoned bets for a ninth Fed rate hike next week upgraded the odds of a quarter-point move back to around 80%. The dollar weakened against all of its Group-of-10 counterparts, with the Australian and New Zealand currencies leading gains. Markets were also digesting a 50 basis points rate hike by the European Central Bank and comments from the ECB president that inflation is projected to remain too high for too long. The ECB rate hike added to bets the US central bank will also raise next week. Friday’s quarterly triple witching, where contracts for index futures, equity index options and stock options all expire, could amp up swings in trading. The First Republic news came after a lifeline from Swiss regulators earlier this week stabilized Credit Suisse Group AG, easing worries that troubles at the European lender would lead to a cascading crisis in that region. The idea of a forced combination with a larger rival, UBS Group AG, was shot down on Thursday and receipts in Credit Suisse ended the session unchanged. The cost to insure the Swiss bank’s debt has been rising. In China, some brokers resumed bond-pricing feeds on certain bond information platforms Friday morning, after an abrupt suspension earlier this week disrupted trading in the $21 trillion market. Bitcoin rose to near the highest level since June amid a broad rally in cryptocurrencies. Other tokens such as Ether, Solana and Polkadot surged as well. oil advanced but was still headed for the worst week so far this year after the recent turmoil in the financial sector. Gold rose. US After Hours FDX +11.8% jumps following earnings; SRPT -19.8% falls as FDA requires meeting; FRC -16.5% lower after cash update and dividend suspension; WAL -6.7% and PACW -5.9% lower in sympathy.
Nikkei +0,77% Hang Seng +1,79% CSI +1,57% Shanghai +1,58% Shenzen +1,22%
Eur$ 1,0645 CNH 6,8648 CNY 6,8665 JPY 133,19 GBP 1,2146 CHF 0,9270 RUB 76,4614 TRY 19,0079 WTI$ 69,11 Gold 1,928 BTC 25,800 +4% ETH 1,708
S&P +0,07% Nasdaq +0,24% EuroStoxx +0,73% FTSE +0,60% Dax +0,39% SMI +0,58%
Macro :
- *US 'AA+' RATING AFFIRMED BY S&P GLOBAL RATINGS, OUTLOOK STABLE
- Brevan Howard Grounds a Few Traders After Losses in Bond Rout
- University of California to Dump Hedge Funds for Private Credit
- Tiger Global venture capital funds said to lose 33% of value in 2022
- Ackman Concerned About ‘Contagion Risk’ Spiraling Out of Control
Keep an eye on :
- A2A IM : Italy’s A2A Makes Non-Binding Bid for Majority of Utility Egea
- MT NA : US Steel Jumps After 1Q EPS Forecast Beats Estimate
- AF FP : Air France to Boost Services to Pre-Pandemic Levels This Summer
- ALO FP : Alstom in ~€250M Seven-Year Contract With Newark Airport
- BOY LN : Bodycote FY Headline Profit Pretax Beats Estimates
- BRSAN TI : Borusan Mannesmann in Talks to Buy Europipe US Unit
- CO FP : Casino Raises R$4.1B With Assai Share Sale at R$16 Apiece
- CSGN SW : Swiss Government Was Informed by Finma, SNB on Credit Suisse
- CTT PL : CTT FY Net Income EU36.4M Vs. EU38.4M Y/y
- DPLM LN : Diploma Buys Tennessee Industrial Electronics; Launches Placing
- EDF FP : EDF Maintains Nuclear Output Target Amid Expanded Reactor Checks
- ENI IM : Eni Says Share Buyback May Be Increased Up To Maximum of EU3.5b
- ENEL IM : Enel FY Adjusted Net Beats Estimates
- ENEL IM : Enel CEO Confirms Dividend, Says May Improve if Conditions Allow
- RACE IM : Ferrari Debuts New Spider Model of Its Iconic Roma Supercar
- FDX US : FedEx Jumps After Boosting Forecast as Cost Cuts Take Hold
- INRN SW : Interroll FY Ebitda Beats Estimates
- INTRUM SS : Intrum Reported to Police by Danish Agency for 2016 Activity: JP
- IPN FP : Ipsen Gets New FDA PDUFA Date for Investigational Palovarotene
- LIAB SS : Lindab Appoints Lars Ynner as Chief Financial Officer
- MANU US : Qatari Royal to Make Second Man United Bid Within 10 Days: Sky
- MOVE SW : Medacta Sees 2023 Revenue EU480M to EU495M, Est. EU484.8M
- MED SW : Medartis Offering of 476,190 Shares Prices at CHF63/Share
- MBG GY : Mercedes Overtakes Tesla on Self-Driving, Catches Up on Software
- TYRES FH : Nokian Tyres Has Received Payment for Sale of Russian Operations
- NOVN SW : Novartis Gets FDA Nod for Tafinlar With Mekinist for Children
- RNO FP : Nissan Technicians Reject Union in Setback for Auto Organizing
- REP SM : Repsol Ditches Canadian LNG Export Terminal Expansion Plan Due
- CFR SW : Richemont to List A Shares, Terminate Depository Receipt Program
- RUI FP : Rubis FY Ebitda Beats Estimates
- SAN FP : Sanofi Follows Lilly, Novo in Cutting Insulin Prices
- SZG GY : Borusan Mannesmann in Talks to Buy Europipe US Unit
- SIFG NA : SIF FY Revenue Misses Estimates
- SKAB SS : Skanska Signs NOK410m Contract for Building in Norway
- STLA IM : Stellantis Announces Launch Of First Tranche Of €1.5B Share Buyback Program
- TEL NO : CK Hutchison in Deal Talks With Telenor in Denmark, Sweden: FT
- UBSG SW : UBS, Credit Suisse Are Said to Oppose Idea of Forced Combination
- UCG IM : UniCredit Urges Holders to Back CEO Pay Plan After Proxy Dissent
- VNA GY : Vonovia FY FFO per Share Beats Estimates
- WBD IM : Webuild Accelerates on Asset Reorganization, Ferrari Says
- MF FP : Wendel FY Net Income Misses Estimates,
- MF FP : *WENDEL TO CREATE THIRD-PARTY ASSET MANAGEMENT BUSINESS