Latest news with #TapasStrickland
ABC News
19 hours ago
- Business
- ABC News
Muted market reaction following US strikes on Iran
Head of market economics at NAB, Tapas Strickland says markets haven't reacted a lot since the US attacked Iran's nuclear facilities because its retaliation options are limited. #abcbusiness
France 24
22-05-2025
- Business
- France 24
Asian equities track Wall St sell-off as US deficit fears grow
Investors are increasingly worries about the US fiscal deficit, pushing up the cost of government borrowing A weak auction of 20-year US government debt flashed a warning sign that the bond market was worried about the country's finances, days after Moody's lowered its top-tier credit rating. The news brought an end to a healthy run-up in recent weeks that was stoked by the China-US tariff detente and signs of progress between the United States and other countries on trade. Bond yields spiked across the board as investors demanded more interest for holding government debt, signalling their fears about the world's biggest economy -- 30-year Treasuries hit their highest level since late 2023. The selling came after the auction of 20-year bonds attracted tepid interest, and brought back memories of the sell-off that followed US President Trump's "Liberation Day" tariff blitz last month, which was followed by the White House taking a less aggressive approach. All three main indexes on Wall Street ended sharply lower. A tax bill pushed by Trump that is currently going through Congress pairs an extension of the tax cuts from Trump's first presidential term with steep savings in government spending to pay for them. But many market watchers do not expect the spending cuts in the package to be sufficient to offset the tax cuts, lifting the deficit. "The proposed tax cuts are raising concerns from economists about the US's fiscal position and there are signs of anxiety in the bond markets about the country's debt burden," said National Australia Bank's Tapas Strickland. Trump's first-term Treasury Secretary, Steven Mnuchin, warned that "the budget deficit is a larger concern to me than the trade deficit" and called for more spending cuts. Asian equities also sank, with Tokyo, Hong Kong, Shanghai, Sydney, Seoul, Taipei, Wellington and Manila all in the red. The dollar also held losses on growing concerns about the US economy, while the uncertainty helped revive demand for safe-haven gold, which was sitting around $3,340 an ounce. And there are now fears that stocks could be in for another rough ride. "These higher long-end yields make it a whole lot harder to justify today's equity valuations," said Stephen Innes at SPI Asset Management. "Tech and growth names -- already stretched -- are staring down the barrel of a tangible equity to rates market repricing, and this could cap the rally fuel that's been driving risk assets since the April tariff detente." Still, bitcoin broke a fresh record of $110,707 as US lawmakers showed greater bipartisan support for a cryptocurrency bill on the regulation of so-called stablecoins, digital coins whose value is tied to the dollar. This has sparked fresh hopes for regulatory clarity in the sector, including for bitcoin, which is not directly linked to the dollar. Oil prices extended losses after data from the US Energy Information Administration showed the country's stockpiles had risen last week. The news helped reverse a rally in the commodity on Wednesday that was sparked by a CNN report that Israel was planning a strike on Iranian nuclear sites. Key figures at around 0230 GMT Tokyo - Nikkei 225: DOWN 0.9 percent at 36,967.13 (break) Hong Kong - Hang Seng Index: DOWN 0.4 percent at 23,733.67 Shanghai - Composite: DOWN 0.1 percent at 3,383.87 Euro/dollar: DOWN at $1.1332 from $1.1334 on Wednesday Pound/dollar: UP at $1.3425 from $1.3421 Dollar/yen: DOWN at 143.36 yen from 143.66 yen Euro/pound: DOWN at 84.40 pence from 84.42 pence West Texas Intermediate: DOWN 0.6 percent at $61.21 per barrel Brent North Sea Crude: DOWN 0.6 percent at $64.54 per barrel New York - Dow: DOWN 1.9 percent at 41,860.44 (close) London - FTSE 100: UP 0.1 percent at 8,786.46 (close) © 2025 AFP
Wall Street Journal
09-05-2025
- Business
- Wall Street Journal
Asian Currencies Mostly Consolidate; Traders Assess U.S.-U.K. Framework for Trade Deal
0034 GMT — Asian currencies mostly consolidate in the early morning Asian session as traders assess the U.S.-U.K. framework for a trade deal that was unveiled overnight. Initial market reaction to the framework was bullish, but the degree of enthusiasm waned, NAB's Tapas Strickland says in commentary. This is only a framework and has many unresolved issues, the head of market economics says. Also, this is an agreement where the U.S. already runs a goods trade surplus with the U.K., and final details are still being negotiated, Strickland adds. USD/JPY edges 0.1% higher to 146.05; AUD/USD sheds 0.2% to 0.6389; USD/CNH is steady at 7.2438. (
Wall Street Journal
01-04-2025
- Business
- Wall Street Journal
Asian Currencies Consolidate Amid Nervous Mood Before U.S. ‘Liberation Day' Tariffs
0006 GMT — Asian currencies consolidate against the dollar in early Asian trade with markets in a nervous mood before President Trump's so-called 'Liberation Day' tariffs due Wednesday. 'Markets are clearly very jittery' ahead of this tariff announcement, NAB's Tapas Strickland says in commentary. It seems that the tariffs could be broader than just the 'dirty 15' which had excited the markets last week, while industry-specific tariffs were also being discussed, the head of Market Economics says. USD/KRW is steady at 1,473.01; USD/SGD is little changed at 1.3431; AUD/USD edges 0.1% lower to 0.6241. (
Wall Street Journal
11-03-2025
- Business
- Wall Street Journal
Haven Assets Mostly Higher Amid U.S. Recession Fears
0035 GMT — Most safe-haven assets such as Treasurys and the yen are higher in the early Asian session amid growing fears of a U.S. recession. 'Headlines of recession risk rising (from low levels) abound', NAB's Tapas Strickland says, noting President Trump's interview with Fox News on Sunday. 'U.S. yields are unsurprisingly lower,' the head of Market Economics says. Market pricing of Fed rate cuts has increased, with total of 81.6bps of rate cuts priced by end-2025 versus 70.7bps on Friday, Strickland adds. The 10-year Treasury yield is 3bps lower at 4.1926%; USD/JPY falls 0.3% to 146.76; AUD/JPY drops 0.3% to 92.21; EUR/JPY is down 0.2% at 159.16. (
