Latest news with #MikeHoulahan
The Star
5 days ago
- Business
- The Star
Asia markets recover after hot U.S. price data
SINGAPORE: Stocks in Asia made an uneven recovery as traders assessed the policy options facing the world's central banks, after an unexpected spike in producer price data in the U.S. renewed inflation concerns. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.2% after a report on Thursday from the Bureau of Labor Statistics which showed the Producer Price Index increased 0.9% in July on a month-on-month basis, well above economists' expectations. The report prompted traders to rein in expectations of how quickly the Federal Reserve would be able to cut rates at its September meeting without stoking further inflation. "What it did was to get rid of all the chat about a 50 basis point cut," said Mike Houlahan, director at Electus Financial Ltd in Auckland. The market is currently pricing in a 92.1% probability of a 25 basis point rate cut at its meeting next month, compared with a 100% likelihood of a cut on Thursday, according to the CME Group's FedWatch tool. The chance of a jumbo 50 basis point cut fell to zero from an earlier expectation of 5.7% a day ago. U.S. stock futures were up 0.2% in Asian trading and on track for a fourth day of gains after a choppy trading session on Wall Street on Thursday. The yield on the U.S. 10-year Treasury bond was down 2 basis points at 4.2732%. The two-year yield, which is sensitive to traders' expectations of Fed fund rates, slipped to 3.7233% compared with a U.S. close of 3.739%. The dollar index, which tracks the greenback against a basket of currencies of other major trading partners, retraced some gains after the PPI data release, last trading down 0.2% at 98.026. The Nikkei 225 rebounded 1.6% to near a new record high, following a sell-off on Thursday that marked the index's biggest decline since April 11 and snapped a six-day winning streak. Japanese GDP data released on Friday showed the economy expanding by an annualised 1.0% in the April-June quarter, beating analyst estimates. The dollar weakened 0.5% against the yen to 147.09. Australian shares were last up 0.7%, while stocks in Hong Kong were down 1.1%. The CSI 300 rose 0.8% after the release of weaker-than-expected Chinese economic data for July including retail sales and industrial production stoked speculation of fresh stimulus. Markets in India and South Korea are closed for public holidays. Cryptocurrency markets stabilised after a new record for bitcoin of $124,480.82 on Thursday proved fragile and promptly crumbled after falling short of its next key milestone. The digital currency was last up 0.8%, recovering some ground, while ether gained 1.7%. "Bitcoin's failure to conquer the $125,000 resistance signals another consolidation phase," said Tony Sycamore, a market analyst at IG in Sydney. In commodities markets, Brent crude was down 0.3% at $66.63 per barrel ahead of a meeting in Alaska between U.S. President Donald Trump and Russian leader Vladimir Putin. "The first meeting doesn't seem like a major market-moving event - it's more to set up a second meeting, which will likely be more important," said Marc Velan, head of investments at Lucerne Asset Management in Singapore. "If a ceasefire is reached, expect a positive reaction in the euro and a weaker dollar; the opposite if a ceasefire fails." Gold was slightly lower as the markets digested the path of inflation-adjusted interest rates, which typically move in the opposite direction from bullion prices. Spot gold was trading up 0.3% at $3,343.94 per ounce. In early European trades, the pan-region futures were up 0.5%, German DAX futures were up 0.5%, and FTSE futures gained 0.5%. - Reuters
Arab News
5 days ago
- Business
- Arab News
Global Markets — Asia markets recover after hot US price data
SINGAPORE: Stocks in Asia made an uneven recovery as traders assessed the policy options facing the world's central banks, after an unexpected spike in producer price data in the US renewed inflation concerns. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.2 percent after a report on Thursday from the Bureau of Labor Statistics which showed the Producer Price Index increased 0.9 percent in July on a month-on-month basis, well above economists' expectations. The report prompted traders to rein in expectations of how quickly the Federal Reserve would be able to cut rates at its September meeting without stoking further inflation. 'What it did was to get rid of all the chat about a 50 basis point cut,' said Mike Houlahan, director at Electus Financial Ltd in Auckland. The market is currently pricing in a 92.1 percent probability of a 25 basis point rate cut at its meeting next month, compared with a 100 percent likelihood of a cut on Thursday, according to the CME Group's FedWatch tool. The chance of a jumbo 50 basis point cut fell to zero from an earlier expectation of 5.7 percent a day ago. US stock futures were up 0.2 percent in Asian trading and on track for a fourth day of gains after a choppy trading session on Wall Street on Thursday. The yield on the US 10-year Treasury bond was down 2 basis points at 4.2732 percent. The two-year yield, which is sensitive to traders' expectations of Fed fund rates, slipped to 3.7233 percent compared with a US close of 3.739 percent. The dollar index, which tracks the greenback against a basket of currencies of other major trading partners, retraced some gains after the PPI data release, last trading down 0.2 percent at 98.026. The Nikkei rebounded 1.6 percent to near a new record high, following a sell-off on Thursday that marked the index's biggest decline since April 11 and snapped a six-day winning streak. Japanese GDP data released on Friday showed the economy expanding by an annualised 1.0 percent in the April-June quarter, beating analyst estimates. The dollar weakened 0.5 percent against the yen to 147.09. Australian shares were last up 0.7 percent, while stocks in Hong Kong were down 1.1 percent. The CSI 300 rose 0.8 percent after the release of weaker-than-expected Chinese economic data for July, including retail sales and industrial production, stoked speculation of fresh stimulus. Markets in India and South Korea are closed for public holidays. Cryptocurrency markets stabilised after a new record for bitcoin of $124,480.82 on Thursday proved fragile and promptly crumbled after falling short of its next key milestone. The digital currency was last up 0.8 percent, recovering some ground, while ether gained 1.7 percent. 'Bitcoin's failure to conquer the $125,000 resistance signals another consolidation phase,' said Tony Sycamore, a market analyst at IG in Sydney. In commodities markets, Brent crude was down 0.3 percent at $66.63 per barrel ahead of a meeting in Alaska between US President Donald Trump and Russian leader Vladimir Putin. 'The first meeting doesn't seem like a major market-moving event - it's more to set up a second meeting, which will likely be more important,' said Marc Velan, head of investments at Lucerne Asset Management in Singapore. 'If a ceasefire is reached, expect a positive reaction in the euro and a weaker dollar; the opposite if a ceasefire fails.' Gold was slightly lower as the markets digested the path of inflation-adjusted interest rates, which typically move in the opposite direction from bullion prices. Spot gold was trading up 0.3 percent at $3,343.94 per ounce. In early European trades, the pan-region futures were up 0.5 percent, German DAX futures were up 0.5 percent, and FTSE futures gained 0.5 percent.
Business Recorder
5 days ago
- Business
- Business Recorder
Asia markets recover after hot U.S. price data
SINGAPORE: Stocks in Asia made an uneven recovery as traders assessed the policy options facing the world's central banks, after an unexpected spike in producer price data in the U.S. renewed inflation concerns. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.2% after a report on Thursday from the Bureau of Labor Statistics which showed the Producer Price Index increased 0.9% in July on a month-on-month basis, well above economists' expectations. The report prompted traders to rein in expectations of how quickly the Federal Reserve would be able to cut rates at its September meeting without stoking further inflation. 'What it did was to get rid of all the chat about a 50 basis point cut,' said Mike Houlahan, director at Electus Financial Ltd in Auckland. The market is currently pricing in a 92.1% probability of a 25 basis point rate cut at its meeting next month, compared with a 100% likelihood of a cut on Thursday, according to the CME Group's FedWatch tool. The chance of a jumbo 50 basis point cut fell to zero from an earlier expectation of 5.7% a day ago. U.S. stock futures were up 0.2% in Asian trading and on track for a fourth day of gains after a choppy trading session on Wall Street on Thursday. The yield on the U.S. 10-year Treasury bond was down 2 basis points at 4.2732%. The two-year yield , which is sensitive to traders' expectations of Fed fund rates, slipped to 3.7233% compared with a U.S. close of 3.739%. The dollar index , which tracks the greenback against a basket of currencies of other major trading partners, retraced some gains after the PPI data release, last trading down 0.2% at 98.026. The Nikkei 225 rebounded 1.6% to near a new record high, following a sell-off on Thursday that marked the index's biggest decline since April 11 and snapped a six-day winning streak. Japanese GDP data released on Friday showed the economy expanding by an annualised 1.0% in the April-June quarter, beating analyst estimates. The dollar weakened 0.5% against the yen to 147.09. Australian shares were last up 0.7%, while stocks in Hong Kong were down 1.1%. The CSI 300 rose 0.8% after the release of weaker-than-expected Chinese economic data for July including retail sales and industrial production stoked speculation of fresh stimulus. Markets in India and South Korea are closed for public holidays. Cryptocurrency markets stabilised after a new record for bitcoin of $124,480.82 on Thursday proved fragile and promptly crumbled after falling short of its next key milestone. The digital currency was last up 0.8%, recovering some ground, while ether gained 1.7%. 'Bitcoin's failure to conquer the $125,000 resistance signals another consolidation phase,' said Tony Sycamore, a market analyst at IG in Sydney. In commodities markets, Brent crude was down 0.3% at $66.63 per barrel ahead of a meeting in Alaska between U.S. President Donald Trump and Russian leader Vladimir Putin. 'The first meeting doesn't seem like a major market-moving event - it's more to set up a second meeting, which will likely be more important,' said Marc Velan, head of investments at Lucerne Asset Management in Singapore. 'If a ceasefire is reached, expect a positive reaction in the euro and a weaker dollar; the opposite if a ceasefire fails.' Gold was slightly lower as the markets digested the path of inflation-adjusted interest rates, which typically move in the opposite direction from bullion prices. Spot gold was trading up 0.3% at $3,343.94 per ounce. In early European trades, the pan-region futures were up 0.5%, German DAX futures were up 0.5%, and FTSE futures gained 0.5%.
Time of India
5 days ago
- Business
- Time of India
Market watch: Asian stocks mixed; oil slips ahead of Trump-Putin talks on Ukraine
Representative image Asian stock markets showed a mixed performance on Friday, with strong Japanese growth figures offset by weaker Chinese data, while oil prices slipped ahead of a high-stakes US-Russia summit on Ukraine. As per news agency AFP, Japan's economy expanded by 0.3% in the April-June quarter, surpassing forecasts, while the previous quarter's output was revised upwards, helping the world's fourth-largest economy avoid a technical recession. The growth came despite tariffs imposed by US President Donald Trump on Japanese imports, including cars, an industry that provides around 8% of Japan's jobs. The Nikkei 225 rose nearly 1% in morning trade, while markets in Shanghai, Seoul, and Sydney also edged higher. However, Hong Kong's Hang Seng Index dropped for a second straight session after China's July retail sales and industrial production grew at a slower pace than expected. Reuters noted that the CSI 300 index erased early gains, reflecting ongoing concerns about China's prolonged real estate slump, high youth unemployment, and weak consumer sentiment, pressures worsened by the US-China trade war. On Wall Street, stocks ended largely flat on Thursday after strong US producer price inflation dampened hopes of a larger interest rate cut by the Federal Reserve next month. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Use an AI Writing Tool That Actually Understands Your Voice Grammarly Install Now Undo 'What it did was to get rid of all the chat about a 50 basis point cut,' said Mike Houlahan of Electus Financial, as quoted by Reuters. Markets are now pricing in a 92% chance of a quarter-point cut, with no expectations of a half-point move. Oil prices eased in Asian trade, reversing Thursday's gains. According to AFP, traders are cautious ahead of Friday's Alaska summit between Trump and Russian President Vladimir Putin. Stephen Schork of the Schork Group warned that a failed meeting could lead to 'stronger sanctions on Russian oil, making it much more difficult for this oil to get to the market.' Key regional indices at 0230 GMT showed Tokyo's Nikkei 225 up 0.9% at 43,036.46, Shanghai Composite up 0.3% at 3,675.05, Hang Seng down 1.1% at 25,236.62, and Brent crude slipping 0.1% to $66.76 per barrel. Stay informed with the latest business news, updates on bank holidays , public holidays , current gold rate and silver price .
Zawya
5 days ago
- Business
- Zawya
Asia markets stumble as hot PPI print reins in Fed rate cut hype
SINGAPORE: Stocks in Asia made an uneven recovery as higher-than-expected producer price inflation dampened expectations of a jumbo rate cut at the Federal Reserve's September meeting, while U.S. bonds and equity futures stabilised. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.3% after a report on Thursday from the Bureau of Labor Statistics which showed the Producer Price Index increased 0.9% in July on a month-over-month basis, well above economists' expectations. "What it did was to get rid of all the chat about a 50 basis point cut," said Mike Houlahan, director at Electus Financial Ltd in Auckland. The market is currently pricing in a 92.1% probability of a 25 basis point rate cut at its September meeting, compared with a 100% likelihood of a cut on Thursday, according to the CME Group's FedWatch tool. The chance of a jumbo 50 basis point cut fell to 0% from an earlier expectation of 5.7% a day ago. U.S. stock futures were flat in early Asian trading after ending a choppy trading session on Wall Street with mild gains on Thursday. The yield on the U.S. 10-year Treasury bond was down 1 basis point at 4.2829%. The two-year yield, which is sensitive to traders' expectations of Fed fund rates, slipped to 3.7304% compared with a U.S. close of 3.739%. Nasdaq futures extended losses into a third consecutive day, sliding 0.1% lower. The dollar index, which tracks the greenback against a basket of currencies of other major trading partners, retraced some gains after the PPI data release, last trading down 0.1% at 98.143. The Nikkei 225 rebounded 0.4% after snapping a six-day winning streak on Thursday with its biggest one-day selloff since April 11, as Japanese GDP data showed the economy expanding by an annualised 1.0% in the April-June quarter, beating analyst estimates. The dollar weakened 0.3% against the yen to 147.64. Australian shares were last up 0.2%, while stocks in Hong Kong were down 0.9% following losses on Thursday for U.S.-listed exchange-traded funds tracking Chinese companies. The CSI 300 gave up early gains and was last trading flat after the release of weaker-than-expected Chinese economic data for July including retail sales and industrial production. Markets in India and South Korea are closed for public holidays. Cryptocurrency markets stabilised after a new record for bitcoin of $124,480.82 on Thursday proved fragile and promptly crumbled after falling short of its next key milestone. The digital currency was last up 0.7%, recovering some ground, while ether gained 1.7%. "Bitcoin's failure to conquer the $125,000 resistance signals another consolidation phase," said Tony Sycamore, a market analyst at IG in Sydney. In commodities markets, Brent crude was flat at $66.94 per barrel ahead of a meeting in Alaska between U.S. President Donald Trump and Russian leader Vladimir Putin. Gold was slightly lower as the markets digested the path of inflation-adjusted interest rates, which typically move in the opposite direction from bullion prices. Spot gold was trading up 0.1% at $3,339 per ounce. In early European trades, the pan-region futures were up 0.4%, German DAX futures were up 0.3% at 24,489, and FTSE futures were up 0.5%.
