In Asian Equity Markets stocks were mixed on Tuesday, with investors awaiting U.S inflation data for more clues on when the Fed will taper stimulus. MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.13 percent. Australia’s S&P/ASX200 fell 0.31 percent to 7,400.8, while Hong Kong’s Hang Seng Index fell into negative territory. China’s blue-chip CSI300 index was down 0.2 percent and Tokyo’s Nikkei traded 0.72 percent higher. In Hong Kong, shares of developer China Evergrande Group fell after revealing it had appointed financial advisers to examine its capital structure.
In Currency Markets the dollar was little changed against other major currencies on Tuesday as investors looked to U.S. inflation data later in the session for clues on the timing of policy tightening by the Federal Reserve. The dollar index stood at 92.596, having retreated from a two-week high of 92.887 hit on Monday while the euro changed hands at $1.1815. The yen stood at 110.05 yen to the dollar, staying in its familiar territory over the past few weeks around 110. Sterling was flat at $1.3842 while the Australian dollar fell 0.2 percent to $0.7353.
In US Equity Markets stocks wavered on Monday, struggling to regain ground lost in last week’s bruising sell-off, but economically sensitive shares rose as investors focused on potential corporate tax hikes and upcoming economic data. The Dow rose 0.39 percent, to 34,743.18, the S&P 500 lost 0.06 percent, at 4,455.94 and the Nasdaq Composite lost 0.21 percent, to 15,083.95. Shares of vaccine makers Moderna and Pfizer Inc sank 6.4 percent and 2.8 percent, respectively, after experts said COVID booster shots are not widely needed.
In Commodities Markets oil prices rose to six-week highs on Monday as U.S. output remains slow to return two weeks after Hurricane Ida slammed into the Gulf Coast and worries another storm could affect output in Texas this week. Brent crude settled up 0.81 percent, at $73.51 a barrel. U.S. crude settled up 1.05 percent, at $70.45 per barrel. Spot gold rose 0.3 percent to $1,792.05 per ounce. Silver was steady at $23.71 per ounce and platinum rose 0.5 percent to $960.18, while palladium fell 2.6 percent to $2,083.46, after hitting its lowest level since August 2020.
In European Equity Markets stocks ended higher for the first time in five days on Monday, as oil, banks and utility shares gained on hopes that a strong euro zone economic recovery would outweigh risks from a global slowdown. The pan-European STOXX 600 index was up 0.3 percent after hitting a three-week low last week. Among individual stocks, German online pet supplies’ retailer Zooplus AG rose 9.0 percent after Hellman & Friedman raised its takeover offer to 3.29 billion euros ($3.89 billion) from an initial offer of 3 billion euros.
In Bond Markets U.S. government bond yields fell on Monday as traders look ahead to data on Tuesday that is expected to show a continuing slowdown in the pace of consumer price increases. The yield on 10-year Treasury notes was down 1.8 basis points at 1.323 percent. The yield on the 30-year Treasury bond was down 3.1 basis points at 1.903 percent. The two-year U.S. Treasury yield, which typically moves in step with interest rate expectations, was down 0.2 basis points at 0.215 percent.