Market Talk – April 23, 2022

ASIA:

Singapore’s economy grew 3.4 percent year-on-year in the first quarter of 2022, according to advance estimates released by the Ministry of Trade and Industry (MTI). This marked a slower pace than the previous quarter when the economy expanded 6.1 per cent. Economists polled by Reuters had expected growth of 3.8 percent. The slowdown in the first quarter was largely due to the manufacturing sector coming off a high base, said MUFG Bank’s senior currency analyst Jeff Ng.

The major Asian stock markets had a mixed day today:
• NIKKEI 225 decreased 447.80 points or -1.63% to 27,105.26
• Shanghai increased 7.11 points or 0.23% to 3,086.92
• Hang Seng decreased 43.70 points or -0.21% to 20,638.52
• ASX 200 decreased 119.50 points or -1.57% to 7,473.30
• Kospi decreased 23.50 points or -0.86% to 2,704.71
• SENSEX decreased 714.53 points or -1.23% to 57,197.15
• Nifty50 decreased 220.65 points or -1.27% to 17,171.95

The major Asian currency markets had a mixed day today:
• AUDUSD decreased 0.01261 or -1.71% to 0.72404
• NZDUSD decreased 0.0105 or -1.56% to 0.66277
• USDJPY   increased 0.095 or 0.07% to 128.543
• USDCNY  increased 0.04856 or 0.75% to 6.52867

Precious Metals:
• Gold decreased 18.93 USD/t oz. or -0.97% to 1,932.57
• Silver decreased 0.388 USD/t. oz or -1.57% to 24.248


Some economic news from last night:
Japan:
CPI, n.s.a (MoM) (Mar) remain the same at 0.4%
National Core CPI (YoY) (Mar) increased from 0.6% to 0.8%
National CPI (YoY) (Mar) increased from 0.9% to 1.2%
Manufacturing PMI (Apr) decreased from 54.1 to 53.4
Services PMI increased from 49.4 to 50.5
Australia:
Manufacturing PMI increased from 57.7 to 57.9
Services PMI increased from 55.6 to 56.6
Singapore:
URA Property Index (QoQ) (Q1) increased from 0.40% to 0.70%

Some economic news from today
Hong Kong:
CPI (YoY) (Mar) increased from 1.60% to 1.70%
India:
Bank Loan Growth increased from 9.6% to 11.2%
Deposit Growth increased from 8.9% to 10.1%
FX Reserves, USD decreased from 604.00B to 603.69B


EUROPE/EMEA:

Related:  Market Talk - April 21, 2022

European stock markets are sliding, as investors digest the prospects of more aggressive rate hikes in the US and Europe, following comments from US Fed chair Jerome Powell and European Central Bank officials yesterday. Eurozone growth unexpectedly picked up in April while prices rose at a record rate, according to business surveys from S&P Global published today. The pound has tumbled to an 18-month low of 1.14% to $1.2878 against the dollar, and is down 1.06% to €1.1891 versus the euro. A sharp drop in British retail sales showed the impact of the cost of living crisis, driven by surging fuel and food prices.

The major Europe stock markets had a negative day:
• CAC 40 decreased 133.68 points or -1.99% to 6,581.42
• FTSE 100 decreased 106.27 points or -1.39% to 7,521.68
• DAX 30 decreased 360.32 points or -2.48% to 14,142.09


The major Europe currency markets had a mixed day today:
• EURUSD decreased 0.00466 or -0.43% to 1.07885
• GBPUSD decreased 0.01943 or -1.49% to 1.28351
• USDCHF increased 0.0041 or 0.43% to 0.95723

Some economic news from Europe today:
UK:
Core Retail Sales (MoM) (Mar) decreased from -0.9% to -1.1%
Core Retail Sales (YoY) (Mar) decreased from 4.7% to -0.6%
Retail Sales (YoY) (Mar) decreased from 7.2% to 0.9%
Retail Sales (MoM) (Mar) decreased from -0.5% to -1.4%
Composite PMI (Apr) decreased from 60.9 to 57.6
Manufacturing PMI increased from 55.2 to 55.3
Services PMI decreased from 62.6 to 58.3
France:
French Manufacturing PMI (Apr) increased from 54.7 to 55.4
French Markit Composite PMI (Apr) increased from 56.3 to 57.5
French Services PMI (Apr) increased from 57.4 to 58.8
Germany:
German Composite PMI (Apr) decreased from 55.1 to 54.5
German Manufacturing PMI (Apr) decreased from 56.9 to 54.1
German Services PMI (Apr) increased from 56.1 to 57.9
Euro Zone:
Current Account (Feb) decreased from 21.6B to 20.8B
Current Account n.s.a. (Feb) increased from -2.6B to 11.4B
Manufacturing PMI (Apr) decreased from 56.5 to 55.3
Markit Composite PMI (Apr) increased from 54.9 to 55.8
Services PMI (Apr) increased from 55.6 to 57.7


US/AMERICAS:

Related:  Goldman Sachs crushes analysts’ expectations on strong bond trading results, shares rise 3%

Wall Street closed in the red this Friday after the Dow plummeted over 950 points. UnitedHealth fell over 3%, accounting for a loss of 100 points off the index. Caterpillar also experienced a large loss today after falling 6.6%. The Dow is down 1.9% for the week, marking a month of weekly declines.

Jobless claims in the US fell by 2,000 last week to 184,000, according to the Labor Department’s weekly report. Continuing claims fell to the lowest level in 50 years after dropping by 58,000 to 1.4 million. On Thursday, Chairman Powell described the strong job market as “unsustainably hot.” The number of available jobs far outweigh the number of workers. Powell cited the unusual strength of the labor force as a key driver of inflation.

Related:  Market Talk - June 1, 2022

US Market Closings:

  • Dow declined 981.36 points or -2.82% to 33,811.4
  • S&P 500 declined 121.88 points or -2.77% to 4,271.78
  • Nasdaq  declined 335.36 points or -2.55% to 12,839.29
  • Russell 2000 declined 50.8 points or -2.55% to 1,940.66

Canada Market Closings:

  • TSX Composite declined 464.03 points or -2.14% to 21,186.38
  • TSX 60 declined 28.32 points or -2.16% to 1,281.87

Brazil Market Closing:

  • Bovespa declined 3,266.27 points or -2.86% to 111,077.51


ENERGY:

The oil markets had a mixed day today:

• Crude Oil decreased 1.92 USD/BBL or -1.85% to 101.870
• Brent decreased 1.96 USD/BBL or -1.81% to 106.37
• Natural gas decreased 0.414 USD/MMBtu or -5.95% to 6.5430
• Gasoline increased 0.0449 USD/GAL or -1.34% to 3.2937
• Heating oil increased 0.0359 USD/GAL or 0.92% to 3.9367

The above data was collected around 14:18 EST on Friday   

• Top commodity gainers: Orange Juice (2.05%) and Canola (1.38%),  Oat(1.16%),  Heating Oil (0.92%)
• Top commodity losers: Sugar(-3.32%), Methanol (-3.08%), Platinum (-3.87%) and Natural Gas (-5.95%)

The above data was collected around 14:24 EST on Friday

.
BONDS: 

Japan 0.249%(-0.1bp), US 2’s 2.71% (+0.040%), US 10’s 2.9103% (+0.27bps); US 30’s 2.95% (+0.027%), Bunds 0.975% (+5bp), France 1.425% (+1.8bp), Italy 2.675% (+7.9bp), Turkey 20.84% (+3bp), Greece 2.987% (+3bp), Portugal 2.003% (+6.3bp); Spain 1.967% (+6.4bp) and UK Gilts 1.967% (-4.5bp).

Leave a Comment