Asia-Pacific markets mixed after slowing U.S. inflation data suggests Fed pause
Japan +1.56%.
China -0.19%.
Hong Kong -0.61%.
Australia +0.32%. Australian weekly consumer confidence survey 72.7 (prior 77.7).
India -0.03%.
New Zealand FPI (May) +0.3% m/m (expected +0.3%).
New Zealand data, Q1 Current Account deficit of -NZD 5.215B; Current Account to GDP ratio Ratio YTD is -8.5%.
Singapore’s full year GDP forecast cut to 1.4 from 1.9%: MAS survey.
South Korea’s export prices in May fell 11.2% year-on-year, the most since March 2010, when export prices fell by 12.2%.
South Korea’s unemployment rate reached a record low of 2.5% in May, a level last seen in August 2022.
In the U.S., all three major indexes closed higher on Tuesday after traders spent the session adding to optimism that the latest inflation data could support the central bank skipping a rate hike for June. The Dow Jones Industrial Average added 146 points , or 0.4%, to close at 34,212.12. The S&P 500 gained 0.7% to close at 4,369.01, and the Nasdaq Composite advanced 0.8% to 13,573.32.
On Tuesday, the consumer price index (CPI) report for May showed a Y/Y deceleration in both the headline number and the core CPI figure. On a M/M basis, headline CPI edged up 0.1% from April, lower than an anticipated +0.2% increase.
Coming up in the session: FOMC meeting decision in the day ahead. With the expectations for a “skip” after raising rates for 10 consecutive meetings and 500 basis points.
Oil prices were lower in early trade after receiving a 3% boost on China’s policy rate cut. U.S. crude futures were off 0.5% to $69.12 per barrel, while Brent crude futures fell 0.4% to $74.02 per barrel.
Gold prices were slightly higher at $1,945.96 per ounce.
U.S. stock futures mostly lower on Wednesday: Dow -0.21%; S&P 500 -0.01%; Nasdaq +0.01%.
