Shares in Asia showed modest gains in range-bound trading, as investors looked for new themes ahead of key US inflation data due Wednesday. Benchmarks rose in Australia and Hong Kong, with those in Japan lifted by a weaker yen that helps exporters. Their counterparts in South Korea and mainland China slipped. US equity futures were little changed.
Treasury yields steadied after those on the 10-year note rose to the highest since November, a whisker away from the psychologically important 4.5% level. Traders’ conviction on three quarter-point rate cuts from the Federal Reserve this year is quickly dissipating, with markets now favoring just two reductions. The dollar was flat, with the yen hovering around the closely watched 152 level that many say will trigger Japanese authorities to act. Elsewhere, oil traded near a five-month high as investors weighed simmering tensions in the Middle East and persistent supply concerns. West Texas Intermediate traded below $87 a barrel after closing lower Monday for the first time in seven sessions. Israeli officials said progress has been made in negotiations for a cease-fire in Gaza, signaling a potential easing of hostilities, but Hamas denied the claim. Economists surveyed by Bloomberg forecast Wednesday’s consumer price index will show some easing of inflation pressures. Yet the core gauge, which excludes food and energy costs, would be up 3.7% from a year earlier — above the Fed’s 2% target. With some Fed members questioning the wisdom of cutting rates if inflation remains in a “sticky” holding pattern, this week’s inflation figures may have a lot riding on them, according to Chris Larkin at E*Trade from Morgan Stanley. Swap contracts imply around 60 basis points of US monetary easing this year, which means two cuts is the most likely outcome with the first expected by September, according to Bloomberg pricing. On Friday, the chance of a third cut was still above 50%. In the corporate world, Blackstone Inc. is nearing a deal to take L’Occitane International SA private, according to people familiar with the matter, potentially ending the global cosmetics company’s 14-year run on Hong Kong’s stock exchange. In other commodities, gold held a record high, up more 17% since mid-February. Bitcoin’s nearest rival Ether grabbed the cryptocurrency spotlight after posting its biggest jump in more than a month, a surge pegged to speculation about the outlook for applications to start US exchange-traded funds for the token.
Nikkei +0.78% Hang Seng +0.71% CSI -0.16% Shanghai -0.12% Shenzen +0.44%
Eur$ 1.0858 CNH 7.2452 CNY 7.2370 JPY 151.89 GBP 1.2659 CHF 0.9048 RUB 92.4250 TRY 32.1735 WTI$ 86.56 +0.15% Gold 2,345 +0.27% BTC 71,222 -0.68% ETH 3,698 +0.25%
S&P +0.09% Nasdaq +0.13% EuroStoxx -0.26% FTSE -0.01% Dax -0.22% SMI -0.12%
Macro :
- Bullard Says Three Fed Rate Cuts This Year Is ‘Base Case’
-
Keep an eye on :
Keep an eye on :
- ATO FP : Atos Seeks €1.2B New Funds in Restructuring Plan
- BAS GY : BASF Cites Second Chemical Spill Into Rhine in Two Months
- BIM FP : BioMerieux 1Q Sales EU965.2M Vs. EU905.7M Y/y, Biomerieux Targets Dividend Payout of ~25% of Net Income
- BA US : Boeing’s 777 Gliders Signal More Cash Woes Amid Max Turmoil
- BORR NO : Borr Drilling Gets Contract Commitments for Three Jack-up Rigs
- BP/ LN : BP Sees Higher 1Q Upstream Production
- COTY US : Richard Baker’s NRDC to Take Over Signa’s Galeria: HB (April 8)
- EURN BB : Euronav Says FourWorld Files New Claim Against CMB’s Offer
- FCT IM : Norwegian Cruise Line Orders Eight Vessels in Fincantieri Pact
- GET FP : Getlink March Passenger Shuttle Traffic Y/y +7%
- HSBA LN : HSBC to Book $1 Billion Pretax Loss on Sale of Argentina Unit
- 973 HK : Billionaire Geiger, Blackstone Said to Near L’Occitane Buyout
- MRL SM : *MERLIN HIRES MORGAN STANLEY, JPMORGAN TO RAISE €1B: CINCO DIAS
- MU US : Micron Plans to Raise DRAM, SSD Prices by 25% in 2Q: DigiTimes
- NCLH US : Norwegian Cruise Line Holdings Unveils Bold New Vision for the Future with Strategic Long Term Fleet Expansion and Enhanced
- OMV AV : OMV 1Q Production Misses Estimates
- PGS NO : PGS Prelim 1Q Revenue About $217M, Est. $194.4M
- 005930 KS : US to Announce $6-7B Chip Subsidy for Samsung Next Week: Reuters
- SL IM : Sanlorenzo Group’s Rossi Gives up Management Powers
- SENS SW : Sensirion Ends Activities in Condition Monitoring Activities
- SKAB SS : Skanska Signs SEK1.7B Additional Contract With Orlando Health
- TGS NO : TGS Prelim 1Q Net Revenue About $152M, Est. $216.9M
- TIT IM : Telecom Italia Slate Led by CEO Labriola Wins Backing of ISS
- TIT IM : *GLASS LEWIS BACKS TELECOM ITALIA'S MANAGEMENT SLATE FOR AGM
- TEF SM : CriteriaCaixa Says Has Achieved A 5% Stake in Telefonica
- TEF SM : CriteriaCaixa Says Has Achieved A 5% Stake in Telefonica
- UBSG SW : UBS Mulls Credit Suisse China Stake Swap With Beijing Government