In Asian Equity Markets indices were traded mixed Tuesday morning. Mainland Chinese stocks fell in early trade, with the Shanghai composite down 0.37%. Hong Kong’s Hang Seng index, on the other hand, added 0.13%. lsewhere, the Nikkei 225 in Japan gained 0.31% in morning trade. Shares of automaker Nissan Motor jumped more than 2.5% after the company’s CEO Hiroto Saikawa announced his resignation effective September 16. Over in South Korea, the Kospi also rose 0.35%. Australia’s S&P/ASX 200 fell 0.53%.
In Currency Markets the U.S. dollar drifted lower on Tuesday as investor appetite for higher risk currencies found support on a report of German stimulus plans, diminishing chances of a no-deal Brexit and hopes of a breakthrough in the Sino-U.S. trade war. The mood lifted the Australian dollar to a six-week high of $0.6875 and the pound also hit a six-week high of $1.2385 as a British law blocking a no-deal exit from the European Union came into force. The safe-haven yen touched a five-week low of 107.46 per dollar as risk appetite rose..
In Commodities Markets oil futures rose on Tuesday, potentially heading for a fifth day of gains, amid optimism that OPEC and other countries may agree to extend production cuts in a bid to support prices. Brent was up 42 cents, or 0.7%, at $63.01 a barrel, while U.S. crude was 46 cents, or 0.8%, higher at $58.31 a barrel. U.S. oil gained more than 2% on Monday, while Brent finished the day 1.7% higher as the market reacted to the appointment by Saudi Arabia’s king of his son, Prince Abdulaziz bin Salman, as energy minister on Sunday.
In US Equity Markets stocks ended flat on Monday as increased expectations of stimulus from central banks around the world were offset by losses in technology and healthcare shares. In healthcare, Amgen fell 2.6% after analysts raised questions about data on the company’s lung cancer drug, while the S&P 500 healthcare index was down 0.9%. The S&P 500 technology index ended down 0.7%. Among other stocks, AT&T Inc. gained 1.5% after shareholder Elliott Management Corp disclosed a $3.2 billion stake in the company and pushed for changes.
In Bond Markets U.S. Treasury yields rose to three-week highs on Monday, in line with gains in the European bond market, as risk appetite improved amid easing U.S.-China trade tensions and expectations of less-aggressive action from the European Central Bank this week. Yields on 30-year bonds advanced to 2.108% from 2.022% on Friday, up from record lows of 1.905% touched in late August. U.S. 30-year yields hit a three-week peak of 2.116%. At the short end of the curve, U.S. two-year yields rose to 1.58% from Friday’s 1.528%.