1 hour ago
Hong Kong stocks rise nearly 3%, leading Asian market gains
Hong Kong’s Hang Seng Index rose 2.8% to a one-week high, while the tech-heavy Hang Seng Tech Index rose more than 3%.
The index rose the most among major stock markets in the Asia-Pacific region.
Asian stocks opened higher on positive mood overnight after soft US inflation data raised hopes that the US Federal Reserve’s interest rate hike cycle is nearing an end. .
China’s better-than-expected October retail sales and industrial data on Wednesday also boosted sentiment.
China’s CSI300 index rose 0.77% by late morning trading.
— Shreyashi Sanyal
2 hours ago
China’s industrial production and retail sales exceeded expectations last month
China’s industrial production and retail sales grew faster than expected in October, data from the National Bureau of Statistics showed.
industrial production The increase in October was 4.6% compared to the same month last year, higher than the 4.5% in September and the 4.4% expected by analysts polled by Reuters.
Retail sales rose 7.6% last month from a year earlier, beating expectations for a 7% rise in a Reuters poll.
The first week of October marked the last major holiday of the year, known as Golden Week in China. Domestic tourism spending has recovered to almost 2019 levels, according to official data, but this is partly due to more people staying in the country as international travel has not yet fully returned to pre-pandemic levels. Ta.
China’s CSI300 index rose 0.82% in early trading.
Read the full text here.
— Shreyashi Sanyal, Evelyn Chen
4 hours ago
CNBC Pro: Is it time to invest in China? A professional review of sectors and stocks to watch right now
China’s economy has been in turmoil this year due to falling exports, slowing consumer spending and a prolonged slump in the real estate sector, with several analysts now taking a bearish view of the Asian giant.
Chinese stocks have performed poorly, with Hong Kong’s Hang Seng Index plummeting about 14% year-to-date and Shenzhen’s index down 10%.
Many emerging market funds have also cut their allocations to China by about 200 basis points this year, shifting weight to other markets such as Taiwan, India, South Korea, Brazil and Mexico in anticipation of better valuations and growth.
However, analysts see opportunities in the Chinese market right now, and point to sectors and stocks that are poised to do so.
CNBC Pro subscribers can read more here.
— Amara Balakrishna
4 hours ago
CNBC Pro: Are you recovering your tax losses? Scotiabank names 10 Canadian stocks as ‘top candidates’
As the end of the year approaches, investors will be reviewing their portfolios and considering which stocks to sell to cover tax losses.
Tax loss harvesting is a strategy that offsets capital gains taxes from high-priced stocks with losses from underperforming stocks.
To help investors, Scotiabank identifies stocks in Canada’s TSX Composite Index that have declined significantly this year but are still rated as “sector outperformers” by analysts. I’ve identified a few.
CNBC Pro subscribers can read more here.
— Ganesh Rao
4 hours ago
Japan’s economy is shrinking at a much faster pace than expected
Preliminary government figures on Wednesday showed Japan’s economy contracted for the first time in four quarters in the July-September period due to slowing global demand and rising domestic inflation.
provisional gross domestic product It was down 2.1% year-over-year in the third quarter, but also down 0.5% from the previous quarter.
Economists polled by Reuters had predicted that the world’s third-largest economy would contract by 0.6% annually in the July-September period, or 0.1% from the previous quarter.
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— Clement Tan
8 hours ago
Crude oil settles sideways as traders weigh Middle East tensions and strong demand forecast
Oil prices remained flat on Tuesday as traders weighed signs of easing tensions in the Middle East against forecasts for increased oil demand.
The January Brent crude oil contract fell 5 cents to settle at $82.47 per barrel, while the December U.S. West Texas Intermediate crude oil contract stabilized at $78.26.
There were also signs that tensions in the Middle East were easing, with President Joe Biden saying he believed an agreement could be reached to release the Hamas hostages. Oil prices rose in mid-October due to concerns that a war between Israel and Hamas could escalate.
Oil prices rose earlier in the day as the International Energy Agency revised upward its oil demand forecast and a slowdown in U.S. inflation strengthened expectations that the Federal Reserve could end its interest rate hikes. rose in time.
— Spencer Kimball
9 hours ago
Chicago Fed President Austan Goolsby says inflation is cooling at a near-record pace
Chicago Fed President Austan Goolsby said Tuesday that inflation has fallen at a near-record pace this year, but more progress is needed.
In remarks prepared for a Detroit Economic Club event on Tuesday, he said that despite full employment, this year could be the fastest cooling period outside of wartime. . Mr. Goolsby was the first Fed official to react to Tuesday’s consumer price index report, which showed October’s consumer price index was flat from a month earlier.
He said improving supply and accelerating productivity caused the decline.
“Progress continues, but we still have a ways to go,” Goldsby said. “In 2023, the decline in CPI inflation could match or exceed the one-year level, and it could happen at a level where unemployment never exceeds 4%,” he said. No,” he added.
Goolsby said the U.S. can achieve strong growth without inflation by easing supply shocks. He said housing was key to further cooling inflation.
— Michelle Fox, Jeff Cox, Steve Reisman, Reuters
11 hours ago
Market participants say markets are ‘celebrating’ after latest inflation figures
Gina Bolvin, president of Bolvin Wealth Management Group, said markets were in a celebratory mood after Tuesday morning’s consumer price index release and could be poised for a year-end rally. He said that there is.
“We need another month of soft inflation data, but stock and bond markets are in a celebratory mood today,” Bolvin said. “Preparations are well underway for the year-end gathering.”
Similarly, AXS Investments CEO Greg Busk said the data is an “early holiday present” to investors who are uncertain about what the Federal Reserve will do with interest rates for the remainder of 2023. .
“This data is welcomed by Wall Street and Main Street alike, as the Fed’s shift from hawkish to dovish interest rate policy is just the holiday gift investors are craving,” Basque said. Ta.
“The cooling in October’s CPI data, coupled with a slowing but resilient economy, bodes well for a soft economic landing, while also pointing to lower interest rates and strong stock market growth prospects in 2024,” he said. Connect,” he added.
— Alex Harring
12 hours ago
Portfolio manager says Fed looks ‘prudent’ after recent inflation data
Bryce Doty, senior portfolio manager at Sit Fixed Income Advisors, said the Fed’s interest rate cycle appears justified after the latest consumer price index data.
“As inflation continues to slow, it seems prudent for the Fed to effectively end the tightening cycle,” he said. “Yields have fallen significantly as the last investors not convinced that Fed policy is over are likely to throw in the towel.”
— Alex Harring