Asian shares declined Wednesday as growth in China’s services industry slowed, underscoring concerns over the tepid recovery in the world’s second-largest economy. A region-wide gauge of equities dropped 0.5%, as stocks also fell in Japan, South Korea and Australia. Futures for benchmarks in the US and Europe edged lower. Initial losses in Chinese equities deepened and the offshore yuan reversed an advance after the Caixin China services purchasing managers’ index was weaker than expected. The yuan’s drop came despite the central bank earlier maintaining its support for the currency in its daily fix. “This brings focus back on slowing growth momentum and the recent step-up in geopolitical angst,” said Charu Chanana, market strategist at Saxo Capital Markets. In Japan, Rakuten Group Inc. shares fell after news that the e-commerce company took a step to list its online brokerage arm. The stock dropped as much as 2.9% amid market concerns over its debt levels, before inching back into positive territory. The yield on the two-year Treasury fell around four basis points to 4.9% as trading resumed on Wednesday following the Independence Day holiday in the US. The 10-year yield hovered around 3.84%.
The two-year yield on Monday exceeded the 10-year rate by the largest amount since March, when the key 2s10s segment of the yield curve became the most inverted since the 1980s. The yen steadied on Wednesday on the stronger side of the 145 level versus the dollar after a bout of weakness that’s triggered unease among policymakers in Tokyo. The Australian dollar, which is sensitive to China’s outlook, slipped following the release of the PMI data. Oil weakened after rallying more than 2% Tuesday on Saudi Arabian and Russian output cuts. Traders are waiting for potentially critical commentary from Saudi energy minister. Gold was little changed.
Nikkei -0.37% Hang Seng -1.34% CSI -0.63% Shanghai -0.54% Shenzen -0.61%
Eur$ 1.0876 CNH 7.2388 CNY 7.2308 JPY 144.51 GBP 1.2706 CHF 0.8975 RUB 89.7097 TRY 25.9956 WTI$ 70.87 +1.55% Gold 1,926 +0.10% BTC 30,837 +0.10% ETH 1,937 -0.26%
S&P -0.08% Nasdaq -0.13% EuroStoxx -0.20% FTSE -0.09% Dax -0.15% SMI -0.03%
Macro :
- UK Watchdog to Set Up Trading Tape for Bonds Ahead of Equities
- Monday Was the Hottest Day Ever as Global Temperatures Rise
- Oil Drifts Lower as Traders Take Stock of OPEC+ Supply Curbs
- BOE Weighs Plan for Foreign Banks to Set Up UK Subsidiaries: FT
- German Commercial Property Deals Tumble 50% to Five-Year Low
Keep an eye on :
Keep an eye on :
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