In Asian Equity Markets stocks on Thursday eased after this week’s global rally, following Wall Street’s overnight stumble. MSCI’s broadest index of Asia-Pacific shares outside Japan fe.ll 0.2 percent, led by a 0.7 percent decrease for Hong Kong’s Hang Seng. Japan’s Nikkei fell 0.2 percent. Australia’s resource-heavy index was up 0.4 percent. Activity in Chinese manufacturing and services simultaneously contracted in March for the first time since the height of the country’s COVID-19 outbreak in 2020.
In Currency Markets the euro held at a one-month high against the dollar on Thursday, having rallied on hopes the war in Ukraine might be entering a new de-escalating phase, while the yen was set for its worst month since November 2016. The European single currency was at $1.1175 holding its highest in a month, having gained 1.7 percent so far this week. The yen resumed its decline on Thursday, with the dollar climbing 0.5 percent to as high as 122.45 yen. Sterling was fairly steady at $1.3143, and the Aussie dollar was at $0.7509 holding this month’s 3.3 percent gains but struggling to climb higher.
In US Equity Markets stocks fell on Wednesday, with the Dow and S&P 500 snapping four-session winning streaks, on waning signs of progress for peace talks between Ukraine and Russia against a backdrop of a hawkish Federal Reserve curbing economic growth. The Dow fell 0.19 percent, to 35,228.81, the S&P 500 lost 0.63 percent, to 4,602.45 and the Nasdaq Composite fell 1.21 percent, to 14,442.28. Lululemon Athletica Inc rose 9.58 percent after forecasting full-year profit and revenue above estimates, as demand for athletic wear remains strong.
In Commodities Markets oil prices gained about 3 percent on Wednesday as another U.S. crude stock drawdown indicated tight supplies and investors worried about new Western sanctions against Moscow with Russian forces continuing to bomb the outskirts of Ukraine’s capital. Brent futures rose 2.9 percent, to settle at $113.45 a barrel, while U.S. WTI crude rose 3.4 percent, to settle at $107.82. Spot gold was up 0.7 percent at $1,932.14 per ounce. Spot silver rose 0.1 percent to $24.78 per ounce, while platinum climbed 0.6 percent to $988.27. Palladium gained 4.6 percent to $2,246.69.
In European Equity Markets stocks retreated after three straight sessions of gains on Wednesday, as investors paused to take stock of the outcome of Russia-Ukraine peace talks. The pan-European STOXX 600 lost 0.4 percent, while commodities-exposed sectors were in positive territory. European miners and the energy sector rose 2.4 percent and 3.3 percent, respectively, as prices of oil and metals rebounded. Shares of Belgian cinema operator Kinepolis Group fell 4.7 percent after announcing its finance chief Nicolas De Clercq would step down.
In Bond Markets U.S. Treasury yields fell, while a key part of the yield curve steepened on Wednesday, unwinding recent moves betting that aggressive Federal Reserve policy tightening could send the world’s largest economy into recession as it tries to curb soaring inflation. In afternoon trading, U.S. 10-year note yields fell 5 basis points to 2.3488 percent on Wednesday. They reached 2.56 percent on Monday, the highest since May 2019. U.S. two-year yields were also lower, down nearly four basis points at 2.3163 percent, having risen to 2.45 percent on Tuesday, the highest since March 2019.