Overseas investors disposed of a combined net total of $5.08 billion in Indonesian, Thai, Malaysian, South Korean, and Indian bonds last month, marking the biggest monthly outflow since March, regulatory data and bond market associations showed. The emerging Asia bonds were hit by a surge in U.S. yields and a jump in the U.S. dollar, making the riskier assets less attractive. Fears over a global economic recession have accelerated in recent weeks, as economists expect the higher interest rates and inflation levels would lead to slower consumption and sluggish business activity around the world.
India’s economy has remained resilient in the face of global headwinds, and with inflation coming off its recent peak is expected to stay on course to become the world’s fastest-growing economy, the Reserve Bank of India said on Saturday. RBI said if the commodity price moderation witnessed in recent weeks endures alongside the easing of supply chain pressures, the worst of the recent surge in inflation will be over.
The major Asian stock markets had a green day today:
The major Asian currency markets had a mixed day today:
l Gold increased 4.91 USD/t oz. or 0.29% to 1,711.69
l Silver increased 0.185 USD/t. oz or 0.99% to 18.875
Some economic news from last night:
Non-Oil Exports (MoM) (Jun) increased from 2.80% to 3.70%
Non-Oil Exports (YoY) (Jun) decreased from 12.00% to 9.00%
Trade Balance increased from 3.013B to 4.494B
RBNZ Offshore Holdings (Jun) increased from 53.40% to 53.70%
CPI (QoQ) (Q2) decreased from 1.8% to 1.7%
CPI (YoY) (Q2) increased from 6.9% to 7.3%
SoftBank has put on hold plans for a London initial public offering of the British chip technology firm Arm because of the political turmoil in the UK government, the Financial Times reported on Monday. The departures of investment minister Gerry Grimstone and digital minister Chris Philp, following the collapse of UK Prime Minister Boris Johnson’s government earlier this month, have led SoftBank to pause discussions about Arm’s UK listing next year, the FT reported, citing people briefed on the talks.
Volkswagen-owned Porsche expects revenue of 38 billion to 39 billion euros ($38.63 billion to $39.64 billion) in 2022 from 33.1 billion in 2021, the sportscar maker said on Monday, despite registering a 5% drop in deliveries in the first half of the year. Porsche, which its owner Volkswagen plans to list on the stock market by the end of this year, saw a 5% drop in deliveries in the first half of 2022, with China sales down 16% amid coronavirus-induced lockdowns.
The major Europe stock markets had a green day:
The major Europe currency markets had a mixed day today:
Some economic news from Europe today:
Italian Trade Balance (May) increased from -3.639B to -0.012B
Italian Trade Balance EU (May) increased from -0.93B to 0.25B
Spanish Trade Balance increased from -6.40B to -4.76B
The National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) found that confidence among US builders has reached a post-pandemic low. The survey dropped 12 points in July to 55, which marks the steepest monthly decline since April 2020. Overall sentiment has fallen 24 points since March 2022, when mortgage rates began rising from historic lows. Sales condition sentiment dropped 12 points to 64, and expectations for future sales fell 11 points to 50. But traffic sentiment contracted to 37 after falling 11 points.
US Market Closings:
Canada Market Closings:
Brazil Market Closing:
The oil markets had a mixed day today:
The above data was collected around 12:39 EST on Monday
l Top commodity gainers: Natural Gas (6.60%), Coffee (6.19%), Oat (5.76%) and Palm Oil (9.95%)
l Top commodity losers: Steel (-5.52%), Bitumen (-5.77%), Lean Hogs (-2.63%) and Lumber (-5.21%)
The above data was collected around 12:52 EST on Monday.
Japan 0.234%(+0bp), US 2’s 3.17% (+0.033%), US 10’s 2.9930% (+6.3bps); US 30’s 3.16% (+0.063%), Bunds 1.2020% (+7.4bp), France 1.8120% (+15.4bp), Italy 3.3990% (+3.7bp), Turkey 18.15% (+1bp), Greece 3.478% (-3.9bp), Portugal 2.379% (+7.9bp); Spain 2.456% (+16.7bp) and UK Gilts 2.1410% (+5.1bp).