Asian shares were little changed on Tuesday, hovering not far from nine-month peaks hit last week, with concerns China may slow the pace of policy easing curbing the market's enthusiasm.

MSCI's broadest index of Asia-Pacific shares outside Japan was almost flat, while Japan's Nikkei average eased 0.2 per cent. Many markets around the world remained shut on Monday after the long Easter weekend.

China stocks fell from a 13-month high on Monday, posting their worst session in nearly four weeks, as comments from top policymaking bodies raised investor fears that Beijing will ease up on stimulative policies after some signs of stabilisation in the world's second-largest economy.

Stocks on Wall Street hovered near break-even on Monday as the benchmark S&amp;P 500 index was about 1 per cent away from its record high hit in September, while the S&amp;P energy index led gains on higher oil prices.

Oil prices jumped more than 2 per cent the previous day to a near six-month high, on growing concern about tight global supplies after the United States announced a further clampdown on Iranian oil exports.&nbsp;

Washington said it would eliminate in May all waivers allowing eight economies to buy Iranian oil without facing US sanctions.

International benchmark Brent crude soared 2.9 per cent to settle at $74.04 a barrel on Monday and US West Texas Intermediate crude jumped 2.7 per cent to settle at $65.70. Both indexes climbed to nearly six-month highs during the session.

US crude futures last traded at $65.78 per barrel, up 0.4 per cent on the day.

But sharp gains in oil prices have so far had a limited impact on the broader financial markets.

"Unless the WTI rises well above $70-75 per barrel, there will be limited impact on US&nbsp;Treasuries and the dollar/yen," said Makoto Noji, chief currency and foreign bond strategist at SMBC Nikko Securities.

In the currency market, the dollar index, which measures the greenback against six major currencies, eased 0.2 per cent overnight and last traded steady at 97.328. The index hit a two-week high of 97.485 on Thursday, before the start of Good Friday and the Easter weekend.

Against the Japanese yen, the dollar was largely flat at 111.96 yen, while the euro was steady to the greenback at 1.2530.

With the jump in the price of oil, one of Canada's major exports, the Canadian dollar rose 0.4 per cent against its US counterpart overnight and last traded at C$1.3352.

On Monday, the Russian rubble hit its highest level against the euro in more than a year, and a one month-peak versus the dollar, also driven by the jump in oil.

Asian shares were little changed on Tuesday, hovering not far from nine-month peaks hit last week, with concerns China may slow the pace of policy easing curbing the market's enthusiasm.

Asian shares were little changed on Tuesday, hovering not far from nine-month peaks hit last week, with concerns China may slow the pace of policy easing curbing the market's enthusiasm. MSCI's broadest index of Asia-Pacific shares outside Japan was almost flat, while Japan's Nikkei average eased 0.2 per cent. Many markets around the world remained shut on Monday after the long Easter weekend. China stocks fell from a 13-month high on Monday, posting their worst session in nearly four weeks, as comments from top policymaking bodies raised investor fears that Beijing will ease up on stimulative policies after some signs of stabilisation in the world's second-largest economy. Stocks on Wall Street hovered near break-even on Monday as the benchmark S&P 500 index was about 1 per cent away from its record high hit in September, while the S&P energy index led gains on higher oil prices. Oil prices jumped more than 2 per cent the previous day to a near six-month high, on growing concern about tight global supplies after the United States announced a further clampdown on Iranian oil exports. Washington said it would eliminate in May all waivers allowing eight economies to buy Iranian oil without facing US sanctions. International benchmark Brent crude soared 2.9 per cent to settle at $74.04 a barrel on Monday and US West Texas Intermediate crude jumped 2.7 per cent to settle at $65.70. Both indexes climbed to nearly six-month highs during the session. US crude futures last traded at $65.78 per barrel, up 0.4 per cent on the day. But sharp gains in oil prices have so far had a limited impact on the broader financial markets. "Unless the WTI rises well above $70-75 per barrel, there will be limited impact on US Treasuries and the dollar/yen," said Makoto Noji, chief currency and foreign bond strategist at SMBC Nikko Securities. In the currency market, the dollar index, which measures the greenback against six major currencies, eased 0.2 per cent overnight and last traded steady at 97.328. The index hit a two-week high of 97.485 on Thursday, before the start of Good Friday and the Easter weekend. Against the Japanese yen, the dollar was largely flat at 111.96 yen, while the euro was steady to the greenback at 1.2530. With the jump in the price of oil, one of Canada's major exports, the Canadian dollar rose 0.4 per cent against its US counterpart overnight and last traded at C$1.3352. On Monday, the Russian rubble hit its highest level against the euro in more than a year, and a one month-peak versus the dollar, also driven by the jump in oil.

Asian shares steady after Easter weekend; oil hits 2019 highs

<a href="https://www.google.com/url?q=https://www.wionews.com/business-economy/tech-banking-stocks-lift-sensex-by-197-points-in-early-trading-206175&amp;sa=U&amp;ved=0ahUKEwj9rez27MnhAhUs8HMBHdqGC2cQFggIMAE&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw0hp7O3niZfH1W72QpAglMl">Asian shares</a> turned lower on Friday as trepidation ahead of the start of the US corporate earnings season and underlying anxiety over the global growth outlook eclipsed some reassuring US economic data.

MSCI's broadest index of Asia-Pacific shares outside Japan was last down 0.1 per cent, having see-sawed within a tight range throughout the morning session

Despite broad weakness in the region, with Chinese blue-chips down 0.8 per cent ahead of the release of trade data, higher Chinese iron ore prices helped to push Australia's S&amp;P/ASX 200 index up 0.7 per cent.

Japan's Nikkei stock index gained 0.5 per cent.

Michael McCarthy, chief market strategist at CMC Markets and Stockbroking in Sydney, said markets were in a "holding pattern" as they waited on Chinese trade data and the US earnings season.

Matt Simpson, the senior market analyst at GAIN Capital in Singapore, said a dovish shift by central banks, together with possible progress on a US-China trade deal and US President Donald Trump's talking up of the markets could help to support equities in the coming weeks.

"Consumer discretionary and information technology are more than outperforming the S&amp;P 500 rebound, and that generally is what you see in the start of an upswing, not near the end of a cycle," he said.

The tepid performance of Asian markets Friday followed a choppy session on Wall Street that left major indexes treading water, hemmed in by anxiety ahead of corporate earnings and worries about a global economic slowdown, which capped gains stemming from upbeat US economic data.

The Dow Jones Industrial Average fell 0.05 per cent to 26,143.05, the S&amp;P 500 closed flat at 2,888.32 and the Nasdaq Composite dropped 0.21 per cent to 7,947.36.

Tempering expectations for a sharp slowdown in US growth as data that showed the number of Americans filing applications for unemployment benefits dropped to a 49-1/2-year low last week

Comments from US Federal Reserve Vice Chairman Richard Clarida that the US economy is in a "good place" but reemphasising the Fed's patience on rate hikes, also helped to reassure investors.

"One of the big takeaways from the past few days has been the broad decline in volatility across markets," National Australia Bank (NAB) analysts said in a morning note. NAB attributed the muted reaction to recent events to dovish policy shifts by central banks, signs that China's stimulus measures are having an effect, continued US-China trade talks and the Brexit delay.

International Monetary Fund Managing Director Christine Lagarde said on Thursday that the six-month delay of Britain's exit from the European Union avoids the "terrible outcome" of a "no-deal" Brexit, but does nothing to lift uncertainty over the final outcome.

Underscoring ongoing threats to the health of the global economy, IMF Deputy Managing Director Mitsuhiro Furusawa warned that a bigger-than-expected slowdown in China's economy remains a key risk to global growth.

US Treasury yields inched lower amid the cautious retreat in shares, after earlier rising on the US jobless claims data, stronger producer prices and a weak 30-year bond auction.

On Friday morning, the yield on benchmark 10-year Treasury notes fell to 2.497 per cent compared with its US close of 2.504 per cent on Thursday. The two-year yield was unchanged at 2.356 per cent.

In currency markets, the dollar was up 0.1 per cent against the yen at 111.75, but a strong gain in the euro, which jumped 0.36 per cent on the day to buy $1.1290, pushed the dollar index down 0.2 per cent to 96.979.

Traders said demand for the euro jumped among Japanese players amid speculation toward cross-border flows.

US crude ticked up 0.35 per cent at $63.80 a barrel, while Brent crude was up 0.28 per cent at $71.03 per barrel.

Gold was flat after falling more than 1 per cent on Thursday to break below the key $1,300 level following solid US data. Spot gold traded at $1,292.03 per ounce.

Asian shares turned lower on Friday as trepidation ahead of the start of the US corporate earnings season and underlying anxiety over the global growth outlook eclipsed some reassuring US economic data.

Asian shares turned lower on Friday as trepidation ahead of the start of the US corporate earnings season and underlying anxiety over the global growth outlook eclipsed some reassuring US economic data. MSCI's broadest index of Asia-Pacific shares outside Japan was last down 0.1 per cent, having see-sawed within a tight range throughout the morning session Despite broad weakness in the region, with Chinese blue-chips down 0.8 per cent ahead of the release of trade data, higher Chinese iron ore prices helped to push Australia's S&P/ASX 200 index up 0.7 per cent. Japan's Nikkei stock index gained 0.5 per cent. Michael McCarthy, chief market strategist at CMC Markets and Stockbroking in Sydney, said markets were in a "holding pattern" as they waited on Chinese trade data and the US earnings season. Matt Simpson, the senior market analyst at GAIN Capital in Singapore, said a dovish shift by central banks, together with possible progress on a US-China trade deal and US President Donald Trump's talking up of the markets could help to support equities in the coming weeks. "Consumer discretionary and information technology are more than outperforming the S&P 500 rebound, and that generally is what you see in the start of an upswing, not near the end of a cycle," he said. The tepid performance of Asian markets Friday followed a choppy session on Wall Street that left major indexes treading water, hemmed in by anxiety ahead of corporate earnings and worries about a global economic slowdown, which capped gains stemming from upbeat US economic data. The Dow Jones Industrial Average fell 0.05 per cent to 26,143.05, the S&P 500 closed flat at 2,888.32 and the Nasdaq Composite dropped 0.21 per cent to 7,947.36. Tempering expectations for a sharp slowdown in US growth as data that showed the number of Americans filing applications for unemployment benefits dropped to a 49-1/2-year low last week Comments from US Federal Reserve Vice Chairman Richard Clarida that the US economy is in a "good place" but reemphasising the Fed's patience on rate hikes, also helped to reassure investors. "One of the big takeaways from the past few days has been the broad decline in volatility across markets," National Australia Bank (NAB) analysts said in a morning note. NAB attributed the muted reaction to recent events to dovish policy shifts by central banks, signs that China's stimulus measures are having an effect, continued US-China trade talks and the Brexit delay. International Monetary Fund Managing Director Christine Lagarde said on Thursday that the six-month delay of Britain's exit from the European Union avoids the "terrible outcome" of a "no-deal" Brexit, but does nothing to lift uncertainty over the final outcome. Underscoring ongoing threats to the health of the global economy, IMF Deputy Managing Director Mitsuhiro Furusawa warned that a bigger-than-expected slowdown in China's economy remains a key risk to global growth. US Treasury yields inched lower amid the cautious retreat in shares, after earlier rising on the US jobless claims data, stronger producer prices and a weak 30-year bond auction. On Friday morning, the yield on benchmark 10-year Treasury notes fell to 2.497 per cent compared with its US close of 2.504 per cent on Thursday. The two-year yield was unchanged at 2.356 per cent. In currency markets, the dollar was up 0.1 per cent against the yen at 111.75, but a strong gain in the euro, which jumped 0.36 per cent on the day to buy $1.1290, pushed the dollar index down 0.2 per cent to 96.979. Traders said demand for the euro jumped among Japanese players amid speculation toward cross-border flows. US crude ticked up 0.35 per cent at $63.80 a barrel, while Brent crude was up 0.28 per cent at $71.03 per barrel. Gold was flat after falling more than 1 per cent on Thursday to break below the key $1,300 level following solid US data. Spot gold traded at $1,292.03 per ounce.

Global Markets: Asian shares dip on caution over global growth, US earnings

Asian shares rose to fresh seven-month highs on Wednesday as global investors took heart from signs of progress in US-China trade talks and brisk economic data, while oil approached the key $70 per barrel mark.

MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.65 per cent shortly after the markets in China opened, touching its highest level since late August.

The index has risen nearly 3 per cent since Thursday following reports of trade talk progress between the United States and China, as well as reassuring factory activity data from China and the US.

Hopes for a deal to end the trade war between the world's two largest economies were fanned by White House economic adviser Larry Kudlow's comments on Wednesday that Washington expects "to make more headway" in trade talks this week.

The global run of gains has also pushed MSCI's key gauge of global equities to a six-month high. The global index was up 0.2 per cent on Wednesday morning.

Australian shares were up 0.68 per cent, and Japan's Nikkei stock index added 0.76 per cent. Chinese blue-chips were up about 0.2 per cent.

On Tuesday, the Dow Jones Industrial Average fell 0.3 per cent to 26,179.13 points, the S&amp;P 500 was flat and the Nasdaq Composite added 0.25 per cent to 7,848.69.

"After such a strong rise it is no surprise that the risk rally stalled a little," said Greg McKenna, strategist at McKenna Macro.

But after a brief consolidation in risk sentiment, US Treasury yields once again ticked higher.

Benchmark 10-year Treasury notes yielded 2.4991 per cent, up from a US&nbsp;close of 2.479 per cent on Tuesday, and the two-year yield touched 2.3226 per cent compared with a US close of 2.308 per cent.

Oil prices also stood near multi-month highs amid concerns about supply, with Brent crude rising as much as 0.72 per cent to $69.87 per barrel, its highest since November and near the psychologically important level of $70 per barrel.

US West Texas Intermediate (WTI) crude jumped 0.37 per cent to $62.81 a barrel.

News that the United States is considering more sanctions against Iran, the fourth-largest producer in the Organization of the Petroleum Exporting Countries (OPEC) and the halting of production at a crude terminal in Venezuela threaten to squeeze supply and pushed oil prices up on Tuesday.

In currency markets, the pound was about 0.1 per cent higher at $1.3138, having recovered its footing after British Prime Minister Theresa May said she would seek another delay to Brexit to work out an EU divorce deal with opposition Labour leader Jeremy Corbyn.

The dollar strengthened against the yen to 111.47 and the euro added 0.18 per cent to buy $1.1222.

The dollar index, which tracks the greenback against a basket of six major rivals, eased 0.18 per cent to 97.183.

Gold was slightly lower, with spot gold trading at $1,292.46 per ounce.

Asian shares rose to fresh seven-month highs on Wednesday as global investors took heart from signs of progress in US-China trade talks and brisk economic data, while oil approached the key $70 per barrel mark.

Asian shares rose to fresh seven-month highs on Wednesday as global investors took heart from signs of progress in US-China trade talks and brisk economic data, while oil approached the key $70 per barrel mark. MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.65 per cent shortly after the markets in China opened, touching its highest level since late August. The index has risen nearly 3 per cent since Thursday following reports of trade talk progress between the United States and China, as well as reassuring factory activity data from China and the US. Hopes for a deal to end the trade war between the world's two largest economies were fanned by White House economic adviser Larry Kudlow's comments on Wednesday that Washington expects "to make more headway" in trade talks this week. The global run of gains has also pushed MSCI's key gauge of global equities to a six-month high. The global index was up 0.2 per cent on Wednesday morning. Australian shares were up 0.68 per cent, and Japan's Nikkei stock index added 0.76 per cent. Chinese blue-chips were up about 0.2 per cent. On Tuesday, the Dow Jones Industrial Average fell 0.3 per cent to 26,179.13 points, the S&P 500 was flat and the Nasdaq Composite added 0.25 per cent to 7,848.69. "After such a strong rise it is no surprise that the risk rally stalled a little," said Greg McKenna, strategist at McKenna Macro. But after a brief consolidation in risk sentiment, US Treasury yields once again ticked higher. Benchmark 10-year Treasury notes yielded 2.4991 per cent, up from a US close of 2.479 per cent on Tuesday, and the two-year yield touched 2.3226 per cent compared with a US close of 2.308 per cent. Oil prices also stood near multi-month highs amid concerns about supply, with Brent crude rising as much as 0.72 per cent to $69.87 per barrel, its highest since November and near the psychologically important level of $70 per barrel. US West Texas Intermediate (WTI) crude jumped 0.37 per cent to $62.81 a barrel. News that the United States is considering more sanctions against Iran, the fourth-largest producer in the Organization of the Petroleum Exporting Countries (OPEC) and the halting of production at a crude terminal in Venezuela threaten to squeeze supply and pushed oil prices up on Tuesday. In currency markets, the pound was about 0.1 per cent higher at $1.3138, having recovered its footing after British Prime Minister Theresa May said she would seek another delay to Brexit to work out an EU divorce deal with opposition Labour leader Jeremy Corbyn. The dollar strengthened against the yen to 111.47 and the euro added 0.18 per cent to buy $1.1222. The dollar index, which tracks the greenback against a basket of six major rivals, eased 0.18 per cent to 97.183. Gold was slightly lower, with spot gold trading at $1,292.46 per ounce.

Asian shares near seven-month highs, investors pause for breath

Asian shares hit 6-1/2-month highs on Friday after upbeat US data and optimism in the tech sector lifted Wall Street stocks, helping calm some of the jitters sparked by the Federal Reserve's cautious outlook on the world's biggest economy.

MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.3 per cent, led by 0.5 per cent gains in the infotech sector, while Japan's Nikkei bucked the trend and lost 0.2 per cent.

On Wall Street, the S&amp;P 500 gained 1.09 per cent while the Nasdaq Composite rallied 1.42 per cent, both hitting five-month highs.

Apple Inc led the tech sector's advance, rising 3.7 per cent, ahead of the company's expected streaming service debut next week.

The Philadelphia SE Semiconductor Index soared 3.5 per cent, coming within a striking distance from its all-time high marked about a year ago.

"I'd think optimism in the tech sector is the biggest driver now. It reflects expectations that the US and China will eventually reach a trade deal," said Soichiro Monji, senior economist at Daiwa SB Investments.

A US trade delegation headed by Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin will visit China on March 28-29, which will be followed by a trip by Chinese Vice Premier Liu He to Washington in early April.

Thursday's US economic data was also upbeat as initial claims for jobless benefits fell more than expected and mid-Atlantic factory activity rebounded sharply.

The figures mollified worries about the US economic outlook after the Fed on Wednesday surprised investors by adopting a sharp dovish stance, anticipating no further interest rate hikes this year and ending its balance sheet rolloffs.

The dollar also jumped back, with its index against a basket of six major currencies rising to 96.327 from Wednesday's 1-1/2-month low of 95.735.

The euro traded at $ 1.1374, flat on the day and off Wednesday's 1-1/2-month high of $1.14485.

The dollar stood at 110.74 yen, having hit a five-week low of 110.30 on Thursday.

The benchmark US 10-year notes yield stood at 2.530 per cent after having slipped to as low as 2.500 per cent on Thursday, its lowest since early January last year.

The five-year yield dropped to 2.34 per cent, below the current Fed funds rate around 2.40 per cent, as fed funds rate futures price in about 50 per cent chances of a rate cut this year.

"The main market reaction to the Fed's announcement was that it has become a consensus that the Fed's next move is a rate cut," said Naoya Oshikubo, senior manager at Sumitomo Mitsui Trust Asset.

"As economic data from China and elsewhere has not bottomed out yet, investors will be looking at economic fundamentals for now. If there are improvements, then markets could roll back expectations of a Fed rate cut," he said.

DoubleLine Capital's chief executive Jeffrey Gundlach, known as the "Bond King," said on Thursday that the stock market "likes the fact that they (the Fed) aren't going to give them any problems," for now.

He added, however, the Fed's cautious stance on raising rates could backfire by creating uncertainty in the economy and hurt the U.S. central bank's credibility.

Another cloud hanging over markets was Britain's fraught moves to exit from the European Union, as the British pound was bruised anew by rising worries about a no-deal Brexit.

EU leaders said Britain could leave the European Union without a deal on April 12 if lawmakers fail next week to back Prime Minister Theresa May's agreement with Brussels.

EU leaders gave May an extra two months, until May 22, to leave if she wins next week's vote in parliament.

The pound traded at $1.3136, having dropped to $1.3004 the previous day. Against the euro, it hit one-month low of 0.8722 to euro on Thursday and last stood at 0.8664.

Oil dipped but held near 2019 highs reached the previous day, supported by a broad risk-on mood, OPEC production cuts and US sanctions on key producers Iran and Venezuela.

Brent crude oil futures edged down 0.3 per cent to $67.65 per barrel while US crude futures fell 0.3 per cent to $59.81.

Asian shares hit 6-1/2-month highs on Friday after upbeat US data and optimism in the tech sector lifted Wall Street stocks, helping calm some of the jitters sparked by the Federal Reserve's cautious outlook on the world's biggest economy.

Asian shares hit 6-1/2-month highs on Friday after upbeat US data and optimism in the tech sector lifted Wall Street stocks, helping calm some of the jitters sparked by the Federal Reserve's cautious outlook on the world's biggest economy. MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.3 per cent, led by 0.5 per cent gains in the infotech sector, while Japan's Nikkei bucked the trend and lost 0.2 per cent. On Wall Street, the S&P 500 gained 1.09 per cent while the Nasdaq Composite rallied 1.42 per cent, both hitting five-month highs. Apple Inc led the tech sector's advance, rising 3.7 per cent, ahead of the company's expected streaming service debut next week. The Philadelphia SE Semiconductor Index soared 3.5 per cent, coming within a striking distance from its all-time high marked about a year ago. "I'd think optimism in the tech sector is the biggest driver now. It reflects expectations that the US and China will eventually reach a trade deal," said Soichiro Monji, senior economist at Daiwa SB Investments. A US trade delegation headed by Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin will visit China on March 28-29, which will be followed by a trip by Chinese Vice Premier Liu He to Washington in early April. Thursday's US economic data was also upbeat as initial claims for jobless benefits fell more than expected and mid-Atlantic factory activity rebounded sharply. The figures mollified worries about the US economic outlook after the Fed on Wednesday surprised investors by adopting a sharp dovish stance, anticipating no further interest rate hikes this year and ending its balance sheet rolloffs. The dollar also jumped back, with its index against a basket of six major currencies rising to 96.327 from Wednesday's 1-1/2-month low of 95.735. The euro traded at $ 1.1374, flat on the day and off Wednesday's 1-1/2-month high of $1.14485. The dollar stood at 110.74 yen, having hit a five-week low of 110.30 on Thursday. The benchmark US 10-year notes yield stood at 2.530 per cent after having slipped to as low as 2.500 per cent on Thursday, its lowest since early January last year. The five-year yield dropped to 2.34 per cent, below the current Fed funds rate around 2.40 per cent, as fed funds rate futures price in about 50 per cent chances of a rate cut this year. "The main market reaction to the Fed's announcement was that it has become a consensus that the Fed's next move is a rate cut," said Naoya Oshikubo, senior manager at Sumitomo Mitsui Trust Asset. "As economic data from China and elsewhere has not bottomed out yet, investors will be looking at economic fundamentals for now. If there are improvements, then markets could roll back expectations of a Fed rate cut," he said. DoubleLine Capital's chief executive Jeffrey Gundlach, known as the "Bond King," said on Thursday that the stock market "likes the fact that they (the Fed) aren't going to give them any problems," for now. He added, however, the Fed's cautious stance on raising rates could backfire by creating uncertainty in the economy and hurt the U.S. central bank's credibility. Another cloud hanging over markets was Britain's fraught moves to exit from the European Union, as the British pound was bruised anew by rising worries about a no-deal Brexit. EU leaders said Britain could leave the European Union without a deal on April 12 if lawmakers fail next week to back Prime Minister Theresa May's agreement with Brussels. EU leaders gave May an extra two months, until May 22, to leave if she wins next week's vote in parliament. The pound traded at $1.3136, having dropped to $1.3004 the previous day. Against the euro, it hit one-month low of 0.8722 to euro on Thursday and last stood at 0.8664. Oil dipped but held near 2019 highs reached the previous day, supported by a broad risk-on mood, OPEC production cuts and US sanctions on key producers Iran and Venezuela. Brent crude oil futures edged down 0.3 per cent to $67.65 per barrel while US crude futures fell 0.3 per cent to $59.81.

Asian shares hit 6-1/2-month high on tech hopes

Asian shares pulled back on Monday after US employment data raised doubts about the strength of the global economy while investor jitters ahead of crucial Brexit votes in the UK parliament this week weighed on the pound.

MSCI's broadest index of Asia-Pacific shares outside Japan was little changed from Friday's three-week low. Japan's Nikkei gained 0.4 per cent in early trade after four consecutive sessions in the red last week.

Wall Street's main indexes posted their biggest weekly decline since the market tumbled at the end of 2018 last week, falling for the fifth consecutive day on Friday on the shocking payrolls data.

The US economy created only 20,000 jobs in February, the weakest reading since September 2017. As a result, bond yields dropped, with the 10-year Treasuries yield hitting a two-month low of 2.607 per cent.

The two-year yield also hit a two-month low of 2.438 per cent, edging near the current Fed funds rate around 2.40 per cent.

Fed funds futures are pricing in more than 20 per cent chance of a rate cut this year.

"The headline reading was so weak that the market could have reacted more aggressively. I would say markets reacted relatively calmly because there were elements that suggest weakness is temporary," said Tomoaki Shishido, fixed income strategist at Nomura Securities.

While jobs growth was weak, average hourly earnings rose 11 cents, or 0.4 per cent, raising the annual increase to 3.4 per cent, the biggest gain since April 2009.

Fed Chair Jerome Powell said on Friday that the central bank will be careful not to shock financial markets as it stabilises its bond portfolio, saying it does not see problems in the US economy that warrant an immediate change in its policy.

He also said the new normal for the Fed's total liabilities may be in the ballpark of 16.5 per cent of GDP.

Chinese data released over the weekend was slightly weaker though hopes for more policy support are likely to cushion any blows.

New bank loans in China fell a bit more than expected in February from a record the previous month, while money supply growth also missed the forecast.

Following the data, China's central bank on Sunday pledged to further support the slowing economy by spurring loans and lowering borrowing costs.

In the currency market, the euro stood at $1.12345, keeping some distance from Thursday's $1.11765 hit after the European Central Bank's surprisingly dovish stance. It was its lowest since late June 2017.

The dollar was softer at 111.12 yen, having peaked at a 2-1/2-month high of 112.135 last Tuesday.

The British pound was wobbly at $1.2986, having fallen to a three-week low of $1.2945 earlier on Monday on nervousness ahead of a crucial week in the UK’s troubled political debate over EU membership, with parliament expected to reject Prime Minister Theresa May's deal in a vote on Tuesday.

If that happens, lawmakers will vote the next day on whether to leave without a deal on March 29. If they reject that, then on Thursday they are due to vote on a "limited" delay.

Oil prices steadied after dipping on Friday on concerns about a slower US economic growth and surging US oil supply.

US West Texas Intermediate (WTI) crude futures rose 0.2 per cent to $56.18 per barrel.

Asian shares pulled back on Monday after US employment data raised doubts about the strength of the global economy while investor jitters ahead of crucial Brexit votes in the UK parliament this week weighed on the pound.

Asian shares pulled back on Monday after US employment data raised doubts about the strength of the global economy while investor jitters ahead of crucial Brexit votes in the UK parliament this week weighed on the pound. MSCI's broadest index of Asia-Pacific shares outside Japan was little changed from Friday's three-week low. Japan's Nikkei gained 0.4 per cent in early trade after four consecutive sessions in the red last week. Wall Street's main indexes posted their biggest weekly decline since the market tumbled at the end of 2018 last week, falling for the fifth consecutive day on Friday on the shocking payrolls data. The US economy created only 20,000 jobs in February, the weakest reading since September 2017. As a result, bond yields dropped, with the 10-year Treasuries yield hitting a two-month low of 2.607 per cent. The two-year yield also hit a two-month low of 2.438 per cent, edging near the current Fed funds rate around 2.40 per cent. Fed funds futures are pricing in more than 20 per cent chance of a rate cut this year. "The headline reading was so weak that the market could have reacted more aggressively. I would say markets reacted relatively calmly because there were elements that suggest weakness is temporary," said Tomoaki Shishido, fixed income strategist at Nomura Securities. While jobs growth was weak, average hourly earnings rose 11 cents, or 0.4 per cent, raising the annual increase to 3.4 per cent, the biggest gain since April 2009. Fed Chair Jerome Powell said on Friday that the central bank will be careful not to shock financial markets as it stabilises its bond portfolio, saying it does not see problems in the US economy that warrant an immediate change in its policy. He also said the new normal for the Fed's total liabilities may be in the ballpark of 16.5 per cent of GDP. Chinese data released over the weekend was slightly weaker though hopes for more policy support are likely to cushion any blows. New bank loans in China fell a bit more than expected in February from a record the previous month, while money supply growth also missed the forecast. Following the data, China's central bank on Sunday pledged to further support the slowing economy by spurring loans and lowering borrowing costs. In the currency market, the euro stood at $1.12345, keeping some distance from Thursday's $1.11765 hit after the European Central Bank's surprisingly dovish stance. It was its lowest since late June 2017. The dollar was softer at 111.12 yen, having peaked at a 2-1/2-month high of 112.135 last Tuesday. The British pound was wobbly at $1.2986, having fallen to a three-week low of $1.2945 earlier on Monday on nervousness ahead of a crucial week in the UK’s troubled political debate over EU membership, with parliament expected to reject Prime Minister Theresa May's deal in a vote on Tuesday. If that happens, lawmakers will vote the next day on whether to leave without a deal on March 29. If they reject that, then on Thursday they are due to vote on a "limited" delay. Oil prices steadied after dipping on Friday on concerns about a slower US economic growth and surging US oil supply. US West Texas Intermediate (WTI) crude futures rose 0.2 per cent to $56.18 per barrel.

Asian shares decline as US jobs data clouds global outlook

Asian shares started the week on the backfoot as investors were unable to shake off worries about global growth, US politics and the Sino-US trade war, keeping the safe-haven dollar well bid near a six-week top against major currencies.

Chinese shares see-sawed on Monday after they resumed trading following a week-long Lunar New Year holiday. The blue-chip index was last up 0.4 per cent, Australian stocks were down 0.6 per cent while South Korea eased 0.2 per cent.

That left MSCI's broadest index of Asia-Pacific shares outside Japan off 0.1 per cent after it was toppled from a four-month top on Friday.

Trading volumes are expected to be light with Japan on public holiday.

Investors are now looking ahead to trade talks this week with a delegation of US&nbsp;officials travelling to China for the next round of negotiations.

"After we went home on Friday, Asian equities closed the week weaker... reflecting an increased level of apprehension on whether or not the US and China can find an agreement to de-escalate their trade tensions ahead of the March 1st deadline," said Rodrigo Catril, senior forex strategist at National Australia Bank.

"US-led trade uncertainty along with increasing concerns over the extent of the current global growth slowdown has seen an increase in demand for core global bonds," Catril said.

"Against a backdrop of uncertainty and despite a Fed that is comfortably on hold, the dollar continues to win the least ugly contest."

The US Federal Reserve has signalled patience on policy after it delivered four hikes in 2018, citing growing economic risks from a slowdown in global growth.

The dollar index held near a six-week high around 96.625 against a basket of currencies, after notching up its strongest weekly gain in six months as traders piled into the greenback in a safe-haven move.

The collapse in talks between US Democrat and Republican lawmakers over the weekend amid a clash over immigrant detention policy raised fears of another government shutdown.

That development was yet another worry for markets already under strain from a drumroll of gloomy news on the global economy. Last week, the European Commission sharply downgraded eurozone growth for this year and next and US&nbsp;President Donald Trump added to the anxiety with a declaration that he had no plans to meet with Chinese President Xi Jinping before the March 1 deadline to achieve a trade deal.

"Growth is probably the big area of risk – the US is still on a healthy track but China stabilisation is more hope than reality at the moment while European momentum continues to soften," JPMorgan analysts said in a note.

"Investors have plenty to be nervous about, including the ongoing growth softness in Europe and the risk this drags the other major geographies down with it."

The rising pressure on growth means the near term fortunes of the equity markets will partly depend on earnings from major US companies. These include Coca-Cola Co, PepsiCo Inc, Walmart Inc, Home Depot Inc, Macy's Inc and Gap Inc for further clues about the health of the consumer sector.

Analysts now expect first-quarter earnings for S&amp;P 500 companies to decline 0.1 per cent from a year earlier, which would be the first such quarterly profit decline since 2016, according to IBES data from Refinitiv.

Elsewhere, the euro was barely changed at $1.1324 after five straight days of losses took it to more than 2 weeks lows. Sterling dithered at $1.2934.

The Australian dollar inched up from Friday's one-month lows although sentiment was still cautious after the country's central bank opened the door to a possible rate cut.

Oil prices slipped on concerns about slowing global demand amid a pick-up in US drilling activity.

US crude was 73 cents weaker at $51.99 per barrel while Brent fell 69 cents to $61.41.

Asian shares started the week on the backfoot as investors were unable to shake off worries about global growth, US politics and the Sino-US trade war, keeping the safe-haven dollar well bid near a six-week top against major currencies.

Asian shares started the week on the backfoot as investors were unable to shake off worries about global growth, US politics and the Sino-US trade war, keeping the safe-haven dollar well bid near a six-week top against major currencies. Chinese shares see-sawed on Monday after they resumed trading following a week-long Lunar New Year holiday. The blue-chip index was last up 0.4 per cent, Australian stocks were down 0.6 per cent while South Korea eased 0.2 per cent. That left MSCI's broadest index of Asia-Pacific shares outside Japan off 0.1 per cent after it was toppled from a four-month top on Friday. Trading volumes are expected to be light with Japan on public holiday. Investors are now looking ahead to trade talks this week with a delegation of US officials travelling to China for the next round of negotiations. "After we went home on Friday, Asian equities closed the week weaker... reflecting an increased level of apprehension on whether or not the US and China can find an agreement to de-escalate their trade tensions ahead of the March 1st deadline," said Rodrigo Catril, senior forex strategist at National Australia Bank. "US-led trade uncertainty along with increasing concerns over the extent of the current global growth slowdown has seen an increase in demand for core global bonds," Catril said. "Against a backdrop of uncertainty and despite a Fed that is comfortably on hold, the dollar continues to win the least ugly contest." The US Federal Reserve has signalled patience on policy after it delivered four hikes in 2018, citing growing economic risks from a slowdown in global growth. The dollar index held near a six-week high around 96.625 against a basket of currencies, after notching up its strongest weekly gain in six months as traders piled into the greenback in a safe-haven move. The collapse in talks between US Democrat and Republican lawmakers over the weekend amid a clash over immigrant detention policy raised fears of another government shutdown. That development was yet another worry for markets already under strain from a drumroll of gloomy news on the global economy. Last week, the European Commission sharply downgraded eurozone growth for this year and next and US President Donald Trump added to the anxiety with a declaration that he had no plans to meet with Chinese President Xi Jinping before the March 1 deadline to achieve a trade deal. "Growth is probably the big area of risk – the US is still on a healthy track but China stabilisation is more hope than reality at the moment while European momentum continues to soften," JPMorgan analysts said in a note. "Investors have plenty to be nervous about, including the ongoing growth softness in Europe and the risk this drags the other major geographies down with it." The rising pressure on growth means the near term fortunes of the equity markets will partly depend on earnings from major US companies. These include Coca-Cola Co, PepsiCo Inc, Walmart Inc, Home Depot Inc, Macy's Inc and Gap Inc for further clues about the health of the consumer sector. Analysts now expect first-quarter earnings for S&P 500 companies to decline 0.1 per cent from a year earlier, which would be the first such quarterly profit decline since 2016, according to IBES data from Refinitiv. Elsewhere, the euro was barely changed at $1.1324 after five straight days of losses took it to more than 2 weeks lows. Sterling dithered at $1.2934. The Australian dollar inched up from Friday's one-month lows although sentiment was still cautious after the country's central bank opened the door to a possible rate cut. Oil prices slipped on concerns about slowing global demand amid a pick-up in US drilling activity. US crude was 73 cents weaker at $51.99 per barrel while Brent fell 69 cents to $61.41.

Asian shares slip, looming US-China trade talks in focus

<a href="http://www.wionews.com/business-economy/asian-shares-soften-as-investors-look-to-g20-summit-180358">Asian shares</a> fell on Tuesday as a relief rally petered out amid rising doubts over whether China and the United States will be able to<a href="http://www.wionews.com/opinions/g20-summit-bring-a-truce-in-us-china-trade-relations-181105"> resolve trade differences</a>.

An inverted US&nbsp;yield curve also raised concerns about a possible recession.

MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.3 per cent as Chinese equity markets struggled to move out of negative territory.

Chinese blue-chip shares in Shenzhen and Shanghai were slightly weaker, and the benchmark Shanghai Composite index edged barely higher. Shares in Hong Kong lost 0.3 per cent.

Australia shares gave up 0.8 per cent and Seoul's Kospi fell 0.6 per cent, while Japan's Nikkei stock index was 1.3 per cent lower.

The temporary freeze on further hostilities in the trade war between the United States and China had sparked a global rally in equity markets on Monday, pushing MSCI's all-country world index up 1.3 per cent.

But even before the trading day ended, major U.S. indexes pulled back from intraday highs as investors pondered unresolved issues between the two countries.

Overnight, the Dow Jones Industrial Average closed 1.13 per cent higher, the S&amp;P 500 gained 1.09 per cent and the Nasdaq Composite added 1.51 per cent.

"Overall trade news overnight (has) probably left the market with more questions than answers, can the US and China really resolve their differences in 90 days?" National Australia Bank analysts said in a note to clients.

"It seems that more details and signs of progress will be needed if the initial trade truce warm fuzzy feeling is to be sustained."

Already, there was confusion over when the 90-day period would start. A White House official said it started on Dec. 1. Earlier, White House economic adviser Larry Kudlow told reporters it would start on Jan. 1.

Moreover, none of the commitments that U.S. officials said had been given by China, including reducing its 40 per cent tariffs on autos, were agreed to in writing and specifics had yet to be hammered out.

"The fear across global markets is that this is just a short-term relief rally and we will find ourselves back where we were a few weeks ago and staring down the barrel of a long-term global growth slow down," Nick Twidale, Sydney-based analyst at Rakuten Securities Australia said in a note.

"In the short term, it seems we may find investors once again back to trading sentiment fluctuations as news hits the markets piecemeal on trade agreement progress."

Adding to worries over the outlook for the global economy, the yield curve between U.S. three-year and five-year notes, and between two-year and five-year paper inverted on Monday - the first parts of the Treasury yield curve to invert since the financial crisis, excluding very short-dated debt.

Analysts expect an inversion of the two-year, 10-year yield curve - seen as a predictor of a U.S. recession - to follow suit.

On Tuesday, the yield on benchmark 10-year Treasury notes fell to 2.9407 per cent compared with its U.S. close of 2.991 per cent on Monday. The two-year yield also fell, but by a narrower margin, touching 2.8028 per cent compared with a U.S. close of 2.833 per cent.

That put the spread between 10-year and two-year Treasuries at less than 14 basis points, its flattest level since July 2007.

"The market pricing evident in the yield curve inversion from three to five segment of the curve, as well as the dip in the 10-year yield below 3 per cent yesterday, goes to reinforce these concerns" about the U.S. economy potentially heading into a recession, said Prakash Sakpal, an economist at ING in Singapore.

However, he added that solid U.S. manufacturing data released Monday pointed to a stronger economic outlook, with new orders a "key driver" in boosting activity.

In contrast to how Asian equity markets could not sustain Monday's rally, oil prices continued to rise after surging 4 per cent the day before on the U.S.-China trade truce, and ahead of a key OPEC meeting expected to lead to supply cuts.

U.S. crude was 1.2 per cent higher at $53.58 per barrel, and Brent crude futures gained 1.1 per cent to $62.35 a barrel.

In the currency market, the dollar index, which tracks the greenback against a basket of peers, softened 0.2 per cent to 96.808.

The dollar was 0.3 per cent weaker against the yen, at 113.28, and the euro gained 0.2 per cent to $1.1373.

As the dollar weakened, China's yuan continued to surge. Since Friday, it has added more than 1,000 pips against the greenback, reaching 6.8545 on Tuesday morning. At 0327 GMT, it was trading at 6.8613 to the dollar.

Federal Reserve Chairman Jerome Powell was scheduled to testify on Wednesday to a congressional Joint Economic Committee, but the hearing was postponed because of a national day of mourning for <a href="http://www.wionews.com/world/former-us-president-george-bush-dies-at-94-son-180616">U.S. President George H.W. Bush,</a> who died on Friday.

The dollar came under pressure last week on Powell's comments that rates were nearing neutral levels, which markets widely interpreted as signalling a slowdown in the Fed's rate-hike cycle.

Spot gold jumped on the weaker dollar, trading up 0.40 per cent at $1,235.88 per ounce.&nbsp;

Asian shares fell on Tuesday as a relief rally petered out amid rising doubts over whether China and the United States will be able to resolve trade differences.

Asian shares fell on Tuesday as a relief rally petered out amid rising doubts over whether China and the United States will be able to resolve trade differences. An inverted US yield curve also raised concerns about a possible recession. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.3 per cent as Chinese equity markets struggled to move out of negative territory. Chinese blue-chip shares in Shenzhen and Shanghai were slightly weaker, and the benchmark Shanghai Composite index edged barely higher. Shares in Hong Kong lost 0.3 per cent. Australia shares gave up 0.8 per cent and Seoul's Kospi fell 0.6 per cent, while Japan's Nikkei stock index was 1.3 per cent lower. The temporary freeze on further hostilities in the trade war between the United States and China had sparked a global rally in equity markets on Monday, pushing MSCI's all-country world index up 1.3 per cent. But even before the trading day ended, major U.S. indexes pulled back from intraday highs as investors pondered unresolved issues between the two countries. Overnight, the Dow Jones Industrial Average closed 1.13 per cent higher, the S&P 500 gained 1.09 per cent and the Nasdaq Composite added 1.51 per cent. "Overall trade news overnight (has) probably left the market with more questions than answers, can the US and China really resolve their differences in 90 days?" National Australia Bank analysts said in a note to clients. "It seems that more details and signs of progress will be needed if the initial trade truce warm fuzzy feeling is to be sustained." Already, there was confusion over when the 90-day period would start. A White House official said it started on Dec. 1. Earlier, White House economic adviser Larry Kudlow told reporters it would start on Jan. 1. Moreover, none of the commitments that U.S. officials said had been given by China, including reducing its 40 per cent tariffs on autos, were agreed to in writing and specifics had yet to be hammered out. "The fear across global markets is that this is just a short-term relief rally and we will find ourselves back where we were a few weeks ago and staring down the barrel of a long-term global growth slow down," Nick Twidale, Sydney-based analyst at Rakuten Securities Australia said in a note. "In the short term, it seems we may find investors once again back to trading sentiment fluctuations as news hits the markets piecemeal on trade agreement progress." Adding to worries over the outlook for the global economy, the yield curve between U.S. three-year and five-year notes, and between two-year and five-year paper inverted on Monday - the first parts of the Treasury yield curve to invert since the financial crisis, excluding very short-dated debt. Analysts expect an inversion of the two-year, 10-year yield curve - seen as a predictor of a U.S. recession - to follow suit. On Tuesday, the yield on benchmark 10-year Treasury notes fell to 2.9407 per cent compared with its U.S. close of 2.991 per cent on Monday. The two-year yield also fell, but by a narrower margin, touching 2.8028 per cent compared with a U.S. close of 2.833 per cent. That put the spread between 10-year and two-year Treasuries at less than 14 basis points, its flattest level since July 2007. "The market pricing evident in the yield curve inversion from three to five segment of the curve, as well as the dip in the 10-year yield below 3 per cent yesterday, goes to reinforce these concerns" about the U.S. economy potentially heading into a recession, said Prakash Sakpal, an economist at ING in Singapore. However, he added that solid U.S. manufacturing data released Monday pointed to a stronger economic outlook, with new orders a "key driver" in boosting activity. In contrast to how Asian equity markets could not sustain Monday's rally, oil prices continued to rise after surging 4 per cent the day before on the U.S.-China trade truce, and ahead of a key OPEC meeting expected to lead to supply cuts. U.S. crude was 1.2 per cent higher at $53.58 per barrel, and Brent crude futures gained 1.1 per cent to $62.35 a barrel. In the currency market, the dollar index, which tracks the greenback against a basket of peers, softened 0.2 per cent to 96.808. The dollar was 0.3 per cent weaker against the yen, at 113.28, and the euro gained 0.2 per cent to $1.1373. As the dollar weakened, China's yuan continued to surge. Since Friday, it has added more than 1,000 pips against the greenback, reaching 6.8545 on Tuesday morning. At 0327 GMT, it was trading at 6.8613 to the dollar. Federal Reserve Chairman Jerome Powell was scheduled to testify on Wednesday to a congressional Joint Economic Committee, but the hearing was postponed because of a national day of mourning for U.S. President George H.W. Bush, who died on Friday. The dollar came under pressure last week on Powell's comments that rates were nearing neutral levels, which markets widely interpreted as signalling a slowdown in the Fed's rate-hike cycle. Spot gold jumped on the weaker dollar, trading up 0.40 per cent at $1,235.88 per ounce.

Global markets: Asia shares fall as lift from US-China trade truce ends

Share markets ticked slightly lower in early Asian trade on Friday as investors await a closely watched meeting between the Chinese and US&nbsp;presidents in Argentina this weekend for signs of a trade war detente.

MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.1 per cent. In Japan, the Nikkei was up 0.2 per cent.

The mostly muted market moves followed a mixed day on Wall Street, where stocks swung between losses and gains to ultimately end lower, amid conflicting signals on the outlook for trade talks.

The Dow Jones Industrial Average fell 0.11 per cent, to 25,338.84, the S&amp;P 500 lost 0.22 per cent to 2,737.8 and the Nasdaq Composite dropped 0.25 per cent to 7,273.08 at Thursday's close.

US&nbsp;stock market futures pointed to more weakness on Friday, with S&amp;P e-mini futures ticking down 0.14 per cent to 2,740.5.

Investors are waiting for a meeting between Chinese President Xi Jinping and US&nbsp;President Donald Trump, at which the leaders are expected to discuss the countries'&nbsp;bruising trade war.

Adding to apprehension ahead of the weekend meeting were comments from a US&nbsp;official, who said White House trade adviser Peter Navarro, who has advocated a tougher trade stance with China, would attend.

Mixed signals from Washington about the prospects for a rapprochement with China on trade have led many investors to sit on the sidelines.

"Rather than jump at headlines, the market has taken a laid-back approach and prices are treading water until we see the outcome," analysts at National Australia Bank said in a morning note.

Defying the subdued mood, Australian shares were 1.1 per cent weaker, dragged lower by maker Coca-Cola Amatil Ltd , which fell 12.1 per cent on a weak outlook for 2019.

"They billed it as another transformational year, which fund managers think means profit growth is not going to be that good," said William O'Loughlin, investment analyst at Rivkin Securities in Sydney.

Global investors also remain hesitant to shift positions significantly as they seek clarity on Federal Reserve policy direction.&nbsp;

Minutes of the latest Fed policy meeting showed that almost all officials agreed another interest rate increase was "likely to be warranted fairly soon," but opened debate on when to pause further hikes and how to relay those plans to the public.

The minutes follow comments from Federal Chairman Jerome Powell earlier this week that some took as indicating a dovish shift.

The yield on two-year US&nbsp;Treasury notes , seen as sensitive to expectations of higher Fed fund rates, was at 2.8066 per cent on Friday, down from a US&nbsp;close of 2.813 per cent.

Benchmark 10-year Treasury notes yielded 3.0261 per cent, compared with a US&nbsp;close of 3.035 per cent on Thursday.&nbsp;

The dollar dropped 0.08 per cent against the yen to 113.38 , while the euro was flat at $1.1391.

In commodities markets, US&nbsp;crude prices retreated after rising on news that Russia is increasingly convinced it needs to reduce oil output along with the Organisation of the Petroleum Exporting Countries (OPEC). OPEC and its allies are meeting in Vienna on Dec. 6-7.

US&nbsp;crude dipped 0.1 per cent at $51.41 a barrel.&nbsp;

Spot gold rose 0.06 per cent to $1,224.38 per ounce.

Share markets ticked slightly lower in early Asian trade on Friday as investors await a closely watched meeting between the Chinese and US presidents in Argentina this weekend for signs of a trade war detente.

Share markets ticked slightly lower in early Asian trade on Friday as investors await a closely watched meeting between the Chinese and US presidents in Argentina this weekend for signs of a trade war detente. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.1 per cent. In Japan, the Nikkei was up 0.2 per cent. The mostly muted market moves followed a mixed day on Wall Street, where stocks swung between losses and gains to ultimately end lower, amid conflicting signals on the outlook for trade talks. The Dow Jones Industrial Average fell 0.11 per cent, to 25,338.84, the S&P 500 lost 0.22 per cent to 2,737.8 and the Nasdaq Composite dropped 0.25 per cent to 7,273.08 at Thursday's close. US stock market futures pointed to more weakness on Friday, with S&P e-mini futures ticking down 0.14 per cent to 2,740.5. Investors are waiting for a meeting between Chinese President Xi Jinping and US President Donald Trump, at which the leaders are expected to discuss the countries' bruising trade war. Adding to apprehension ahead of the weekend meeting were comments from a US official, who said White House trade adviser Peter Navarro, who has advocated a tougher trade stance with China, would attend. Mixed signals from Washington about the prospects for a rapprochement with China on trade have led many investors to sit on the sidelines. "Rather than jump at headlines, the market has taken a laid-back approach and prices are treading water until we see the outcome," analysts at National Australia Bank said in a morning note. Defying the subdued mood, Australian shares were 1.1 per cent weaker, dragged lower by maker Coca-Cola Amatil Ltd , which fell 12.1 per cent on a weak outlook for 2019. "They billed it as another transformational year, which fund managers think means profit growth is not going to be that good," said William O'Loughlin, investment analyst at Rivkin Securities in Sydney. Global investors also remain hesitant to shift positions significantly as they seek clarity on Federal Reserve policy direction. Minutes of the latest Fed policy meeting showed that almost all officials agreed another interest rate increase was "likely to be warranted fairly soon," but opened debate on when to pause further hikes and how to relay those plans to the public. The minutes follow comments from Federal Chairman Jerome Powell earlier this week that some took as indicating a dovish shift. The yield on two-year US Treasury notes , seen as sensitive to expectations of higher Fed fund rates, was at 2.8066 per cent on Friday, down from a US close of 2.813 per cent. Benchmark 10-year Treasury notes yielded 3.0261 per cent, compared with a US close of 3.035 per cent on Thursday. The dollar dropped 0.08 per cent against the yen to 113.38 , while the euro was flat at $1.1391. In commodities markets, US crude prices retreated after rising on news that Russia is increasingly convinced it needs to reduce oil output along with the Organisation of the Petroleum Exporting Countries (OPEC). OPEC and its allies are meeting in Vienna on Dec. 6-7. US crude dipped 0.1 per cent at $51.41 a barrel. Spot gold rose 0.06 per cent to $1,224.38 per ounce.

Asian shares soften as investors look to G20 summit

Asian shares edged lower as investors fretted about slowing global growth with crude oil prices sinking on worries about weakening world demand and oversupply.

US crude futures dived 7 per cent the previous day, suffering their biggest one-day loss in more than three years. The contracts last stood at $55.72 per barrel following a descent to $54.75 overnight, their lowest since November 2017.

OPEC warned on Tuesday that a supply glut could emerge in 2019 as the world economy slows and rivals increase production more quickly than expected.

The concerns about global growth pushed MSCI's broadest index of Asia-Pacific shares outside Japan down 0.07 per cent.

Australian stocks fell 0.5 per cent, South Korea's KOSPI lost 0.2 per cent and Japan's Nikkei added 0.3 per cent.

The Dow and S&amp;P 500&nbsp;ended slightly lower on Tuesday as lower oil prices took a toll on energy shares, offsetting a small gain in technology stocks and renewed hopes for progress in US-China trade talks.

The Nasdaq managed to end essentially flat on Tuesday as a rebound in technology stocks kept the index out of negative territory.

Riskier assets have been under intense selling pressure over the past two months as worries about a peak in earnings growth added to international trade tensions and signs of slowing in global investment and growth.

"The markets would have reacted more positively to US-China trade and Brexit-related headlines a few months ago," said Makoto Noji, chief currency and foreign bond strategist at SMBC Nikko Securities in Tokyo.

"But currently there is more focus on the possibility of both the US and Chinese leaders maintaining their tough stance, with a compromise eluding them, and Brexit bogging down. Market sentiment is clearly cooling down."

The United Kingdom and European Union agreed on the text for a Brexit divorce deal on Tuesday. Prime Minister Theresa May will present the draft withdrawal agreement to her senior ministers on Wednesday for discussion and then decide on the next steps.

Lifted by the latest hopes for a Brexit deal, the pound extended overnight gains and was last 0.35 per cent higher at $1.3016.

Brexit hopes also supported the euro. The single currency was up 0.2 per cent at $1.1310 pulling back from a 17-month trough of $1.1216 brushed on Monday.

The euro's gains, however, were tempered by concerns over Italy's budget proposals. The European Commission rejected Italy's plan last month and has threatened to impose penalties if it is not revised to conform with EU regulations - something Rome has indicated it is unwilling to do.

The dollar index, which measures the greenback's strength against six major currencies, slipped overnight to 97.303.

The index had steadily climbed to a 16-month peak of 97.693 on Monday amid the ongoing US-China trade dispute and the Federal Reserve's commitment to keep gradually raising interest rates.

Also weighing on the dollar, US Treasury yields slid to more than one-week lows overnight as the sharp drop in oil prices suggested a more subdued inflation outlook.&nbsp;

Asian shares edged lower as investors fretted about slowing global growth with crude oil prices sinking on worries about weakening world demand and oversupply. US crude futures dived 7 per cent the previous day, suffering their biggest one-day loss in more than three years.

Asian shares edged lower as investors fretted about slowing global growth with crude oil prices sinking on worries about weakening world demand and oversupply. US crude futures dived 7 per cent the previous day, suffering their biggest one-day loss in more than three years. The contracts last stood at $55.72 per barrel following a descent to $54.75 overnight, their lowest since November 2017. OPEC warned on Tuesday that a supply glut could emerge in 2019 as the world economy slows and rivals increase production more quickly than expected. The concerns about global growth pushed MSCI's broadest index of Asia-Pacific shares outside Japan down 0.07 per cent. Australian stocks fell 0.5 per cent, South Korea's KOSPI lost 0.2 per cent and Japan's Nikkei added 0.3 per cent. The Dow and S&P 500 ended slightly lower on Tuesday as lower oil prices took a toll on energy shares, offsetting a small gain in technology stocks and renewed hopes for progress in US-China trade talks. The Nasdaq managed to end essentially flat on Tuesday as a rebound in technology stocks kept the index out of negative territory. Riskier assets have been under intense selling pressure over the past two months as worries about a peak in earnings growth added to international trade tensions and signs of slowing in global investment and growth. "The markets would have reacted more positively to US-China trade and Brexit-related headlines a few months ago," said Makoto Noji, chief currency and foreign bond strategist at SMBC Nikko Securities in Tokyo. "But currently there is more focus on the possibility of both the US and Chinese leaders maintaining their tough stance, with a compromise eluding them, and Brexit bogging down. Market sentiment is clearly cooling down." The United Kingdom and European Union agreed on the text for a Brexit divorce deal on Tuesday. Prime Minister Theresa May will present the draft withdrawal agreement to her senior ministers on Wednesday for discussion and then decide on the next steps. Lifted by the latest hopes for a Brexit deal, the pound extended overnight gains and was last 0.35 per cent higher at $1.3016. Brexit hopes also supported the euro. The single currency was up 0.2 per cent at $1.1310 pulling back from a 17-month trough of $1.1216 brushed on Monday. The euro's gains, however, were tempered by concerns over Italy's budget proposals. The European Commission rejected Italy's plan last month and has threatened to impose penalties if it is not revised to conform with EU regulations - something Rome has indicated it is unwilling to do. The dollar index, which measures the greenback's strength against six major currencies, slipped overnight to 97.303. The index had steadily climbed to a 16-month peak of 97.693 on Monday amid the ongoing US-China trade dispute and the Federal Reserve's commitment to keep gradually raising interest rates. Also weighing on the dollar, US Treasury yields slid to more than one-week lows overnight as the sharp drop in oil prices suggested a more subdued inflation outlook.

Asia stocks shaken by plunge in crude oil, growth worries

Asian shares barely budged on Wednesday, lacking traction as US bond yields edged near a seven-year peak ahead of a widely expected rate hike by the Federal Reserve and as international oil prices rose to four-year highs.

MSCI's broadest index of Asia-Pacific shares outside Japan &lt;.MIAPJ0000PUS&gt; was almost flat in early trade, in part as South Korea is closed for a holiday. It stayed below a three-week high hit on Friday.

In Japan, the Nikkei &lt;.N225&gt; edged down 0.4 per cent.

Wall Street shares were mixed, as rises in energy shares on higher oil prices and gains in consumer discretionary shares following strong US consumer confidence were offset by falls in other sectors.

US consumer confidence hit an 18-year high, adding to a string of recent US data that pointed to the strong US&nbsp;economic momentum, despite concerns about trade wars US President Donald Trump is waging.

The Dow Jones Industrial Average &lt;.DJI&gt; fell 0.26 percent, the S&amp;P 500 &lt;.SPX&gt; lost 0.13 percent while the Nasdaq Composite &lt;.IXIC&gt; added 0.18 percent.

The utility sector, sometimes seen as an alternative to bonds because of the relative steadiness of their business, was the worst performer as investors braced for a rate hike by the Federal Reserve later on Wednesday.

The benchmark 10-year Treasury yield &lt;US10YT=RR&gt; rose to as high as 3.113 per cent, near its seven-year peak of 3.128 per cent touched on May 18.

Fed funds rates futures &lt;0#FF:&gt; implied traders are fully pricing in a rate hike on Wednesday, and another 85 per cent chance the Fed would raise rates again in December.

"The focus will be on whether the Fed will indicate its tightening is coming to an end. The Fed may not do so today but I expect markets will soon start looking to that scenario," said Akira Takei, bond fund manager at Asset Management One.

Takei noted that there are already signs that higher rates are starting to hurt the US economy, such as a rise in delinquencies of consumer loans, adding the dollar's softness could be an early sign of growing focus over an end to the US tightening cycle.

The dollar's index against a basket of major currencies stood at 94.169 &lt;=USD&gt;, near Friday's 93.808, a 2-1/2-month low.

The euro traded at $1.1765 &lt;EUR=&gt;, not far from three-month high of $1.18155 touched on Monday.

Many emerging market currencies, such as the Turkish lira &lt;TRYTOM=D4&gt; and the South African rand &lt;ZAR=D4&gt;, also kept some distances from lows hit last month.

A rare exception was the yen &lt;JPY=&gt;, which changed hands at 112.98 to the dollar, near six-month lows of 113.18 set in mid-July.

Oil prices slipped following data showing US crude stocks rose unexpectedly last week and renewed call from Trump on OPEC to boost crude output.

Still they were supported on the whole on concerns of tight supply on US sanctions on Iran's oil exports.

Benchmark Brent futures &lt;LCOc1&gt; hit $82.55 per barrel, its highest since Nov. 10, 2014, on Tuesday and last stood at $81.41, down 0.55 per cent on the day.

US crude futures &lt;CLc1&gt; shed 0.6 per cent to $71.87 per barrel after hitting an 11-week high of $72.78 the previous day. 
&nbsp;

Asian shares barely budged on Wednesday, lacking traction as US bond yields edged near a seven-year peak ahead of a widely expected rate hike by the Federal Reserve and as international oil prices rose to four-year highs.

Asian shares barely budged on Wednesday, lacking traction as US bond yields edged near a seven-year peak ahead of a widely expected rate hike by the Federal Reserve and as international oil prices rose to four-year highs. MSCI's broadest index of Asia-Pacific shares outside Japan <.MIAPJ0000PUS> was almost flat in early trade, in part as South Korea is closed for a holiday. It stayed below a three-week high hit on Friday. In Japan, the Nikkei <.N225> edged down 0.4 per cent. Wall Street shares were mixed, as rises in energy shares on higher oil prices and gains in consumer discretionary shares following strong US consumer confidence were offset by falls in other sectors. US consumer confidence hit an 18-year high, adding to a string of recent US data that pointed to the strong US economic momentum, despite concerns about trade wars US President Donald Trump is waging. The Dow Jones Industrial Average <.DJI> fell 0.26 percent, the S&P 500 <.SPX> lost 0.13 percent while the Nasdaq Composite <.IXIC> added 0.18 percent. The utility sector, sometimes seen as an alternative to bonds because of the relative steadiness of their business, was the worst performer as investors braced for a rate hike by the Federal Reserve later on Wednesday. The benchmark 10-year Treasury yield <US10YT=RR> rose to as high as 3.113 per cent, near its seven-year peak of 3.128 per cent touched on May 18. Fed funds rates futures <0#FF:> implied traders are fully pricing in a rate hike on Wednesday, and another 85 per cent chance the Fed would raise rates again in December. "The focus will be on whether the Fed will indicate its tightening is coming to an end. The Fed may not do so today but I expect markets will soon start looking to that scenario," said Akira Takei, bond fund manager at Asset Management One. Takei noted that there are already signs that higher rates are starting to hurt the US economy, such as a rise in delinquencies of consumer loans, adding the dollar's softness could be an early sign of growing focus over an end to the US tightening cycle. The dollar's index against a basket of major currencies stood at 94.169 <=USD>, near Friday's 93.808, a 2-1/2-month low. The euro traded at $1.1765 <EUR=>, not far from three-month high of $1.18155 touched on Monday. Many emerging market currencies, such as the Turkish lira <TRYTOM=D4> and the South African rand <ZAR=D4>, also kept some distances from lows hit last month. A rare exception was the yen <JPY=>, which changed hands at 112.98 to the dollar, near six-month lows of 113.18 set in mid-July. Oil prices slipped following data showing US crude stocks rose unexpectedly last week and renewed call from Trump on OPEC to boost crude output. Still they were supported on the whole on concerns of tight supply on US sanctions on Iran's oil exports. Benchmark Brent futures <LCOc1> hit $82.55 per barrel, its highest since Nov. 10, 2014, on Tuesday and last stood at $81.41, down 0.55 per cent on the day. US crude futures <CLc1> shed 0.6 per cent to $71.87 per barrel after hitting an 11-week high of $72.78 the previous day.

Asian shares hover below 3-week high as Fed rate hike looms

The BSE Sensex fell over 82 points in early trade today on weak global cues after President Donald Trump pulled the US out of the landmark Iran nuclear deal, fanning fears of an escalation in geopolitical tensions.

Crude oil prices zoomed past USD 76 per barrel mark amid foreign capital outflows and depreciating rupee.

Asian shares ticked down as renewed US sanctions on Tehran were seen as disruptive for oil supplies.

The 30-share Sensex fell by 82.12 points, or 0.23 per cent to 35,134.20. Sectoral indices led by oil and gas, PSU, banking, realty, auto, capital goods and power declined by up to 0.83 per cent.

The Sensex had gained 300.94 points in the previous two sessions.

The 50-share NSE Nifty also slipped below the 10,700-mark by shedding 27.95 points, or 0.26 per cent, to 10,689.85.

The laggards were ICICI Bank, HDFC, SBI, Axis Bank, Bharti Airtel and Adani Ports, falling up to 1.46 per cent.

However, IT stocks spurted after the rupee depreciated against the dollar. TCS rose 0.86 per cent, Infosys 0.59 per cent and Wipro 0.06 per cent.

Meanwhile, on a net basis, foreign institutional investors (FIIs) sold shares worth Rs 97.15 crore, while domestic institutional investors (DIIs) bought shares to the tune of Rs 923.25 crore in yesterday's trade, provisional data showed.

Among other Asian markets, Hong Kong's Hang Seng shed 0.04 per cent, while Shanghai Composite Index lost 0.16 per cent in early trade. Japan's Nikkei fell 0.43 per cent.

The US Dow Jones Industrial Average, however, edged up 0.01 per cent in yesterday's trade.&nbsp;

Crude oil prices zoomed past USD 76 per barrel mark amid foreign capital outflows and depreciating rupee.

The BSE Sensex fell over 82 points in early trade today on weak global cues after President Donald Trump pulled the US out of the landmark Iran nuclear deal, fanning fears of an escalation in geopolitical tensions. Crude oil prices zoomed past USD 76 per barrel mark amid foreign capital outflows and depreciating rupee. Asian shares ticked down as renewed US sanctions on Tehran were seen as disruptive for oil supplies. The 30-share Sensex fell by 82.12 points, or 0.23 per cent to 35,134.20. Sectoral indices led by oil and gas, PSU, banking, realty, auto, capital goods and power declined by up to 0.83 per cent. The Sensex had gained 300.94 points in the previous two sessions. The 50-share NSE Nifty also slipped below the 10,700-mark by shedding 27.95 points, or 0.26 per cent, to 10,689.85. The laggards were ICICI Bank, HDFC, SBI, Axis Bank, Bharti Airtel and Adani Ports, falling up to 1.46 per cent. However, IT stocks spurted after the rupee depreciated against the dollar. TCS rose 0.86 per cent, Infosys 0.59 per cent and Wipro 0.06 per cent. Meanwhile, on a net basis, foreign institutional investors (FIIs) sold shares worth Rs 97.15 crore, while domestic institutional investors (DIIs) bought shares to the tune of Rs 923.25 crore in yesterday's trade, provisional data showed. Among other Asian markets, Hong Kong's Hang Seng shed 0.04 per cent, while Shanghai Composite Index lost 0.16 per cent in early trade. Japan's Nikkei fell 0.43 per cent. The US Dow Jones Industrial Average, however, edged up 0.01 per cent in yesterday's trade.

Sensex slips 82 points on weak global cues

Asian shares edged higher on Friday after US&nbspequities were buoyed by solid quarterly earnings and a rebound in technology stocks, while all eyes in the region are on a historic summit between the two Koreas.

Japan's benchmark Nikkei stock average gained 0.4 percent, up 147.05 yen from the previous day at the opening of Tokyo stock market, news agency Reuters reported.

Hong Kong's stock market opened with the benchmark Hang Seng Index also rising one percent to 30,300.83.

Australian shares followed Wall Street's strong earnings, with the S&P/ASX 200 index rising 0.3 percent or 18.2 points to 5,929 by 0248 GMT. The benchmark is on track to gain about one percent for the week.

Japan's benchmark Nikkei stock average gained 0.4 percent, up 147.05 yen from the previous day at the opening of Tokyo stock market.

Asian shares edged higher on Friday after US&nbspequities were buoyed by solid quarterly earnings and a rebound in technology stocks, while all eyes in the region are on a historic summit between the two Koreas. Japan's benchmark Nikkei stock average gained 0.4 percent, up 147.05 yen from the previous day at the opening of Tokyo stock market, news agency Reuters reported. Hong Kong's stock market opened with the benchmark Hang Seng Index also rising one percent to 30,300.83. Australian shares followed Wall Street's strong earnings, with the S&P/ASX 200 index rising 0.3 percent or 18.2 points to 5,929 by 0248 GMT. The benchmark is on track to gain about one percent for the week.

Asia shares rise as Koreas hold historic summit

Indian shares fell for a second session on Wednesday, tracking Asian peers, after U.S. Federal Reserve Chair Jerome Powell`s remarks about a potential rise in the number of rate hikes, while uncertainty over state-run banks compounded the decline.

Asian shares took a hit after Powell said each member would write a new &quot;dot plot&quot; rate path ahead of the March meeting and that he wouldn`t want to prejudge the outcome, indicating the possibility of a rate hike in March.

MSCI`s broadest index of Asia-Pacific shares outside Japan slipped 1.06 percent.&nbsp;

The weak spell in domestic markets lingered on apprehensions over state-run banks after the finance ministry set a 15-day deadline for banks to take pre-emptive action on operational and technical risks, following a $2 billion fraud at Punjab National Bank.

The ministry`s Department of Financial Services also ordered state-run lenders to comb through their bad loans of more than 500 million rupees ($7.68 million) for potential fraud.

&quot;In the short-term, these finance ministry directives could create panic in the market,&quot; said Sumit Pokharna, deputy vice president, Kotak Securities.

&quot;There are many loans which are more than 500 million rupees and that could be a problem now, but it is definitely a good step in the long run.&quot;

Investors are also looking out for key domestic economic data this week including Oct-Dec gross domestic product (GDP) due later in the day. A Reuters poll forecast GDP expansion at 6.9 percent, the fastest in 2017.

The broader NSE Nifty was down 0.52 percent at 10,499.75 as of 0604 GMT, while the benchmark BSE Sensex was 0.48 percent lower at 34,180.61.

The Nifty PSU Bank index fell as much as 2.7 percent before recovering somewhat, dragged by PNB and Bank of India which fell as much as 6.46 percent and 5.4 percent, respectively.

Tata Motors Ltd was down 1.4 percent after Morgan Stanley suggested avoiding automakers and related component manufacturers that are exposed to the EU premium car market. A top German court ruled on Tuesday in favour of allowing major cities to ban heavily polluting diesel cars.

However, the information technology stocks eked out some gains, with Infosys Ltd rising as much as 1.6 percent.&nbsp;

The broader NSE Nifty was down 0.52 percent at 10,499.75 as of 0604 GMT, while the benchmark BSE Sensex was 0.48 percent lower at 34,180.61.

Indian shares fell for a second session on Wednesday, tracking Asian peers, after U.S. Federal Reserve Chair Jerome Powell`s remarks about a potential rise in the number of rate hikes, while uncertainty over state-run banks compounded the decline. Asian shares took a hit after Powell said each member would write a new "dot plot" rate path ahead of the March meeting and that he wouldn`t want to prejudge the outcome, indicating the possibility of a rate hike in March. MSCI`s broadest index of Asia-Pacific shares outside Japan slipped 1.06 percent. The weak spell in domestic markets lingered on apprehensions over state-run banks after the finance ministry set a 15-day deadline for banks to take pre-emptive action on operational and technical risks, following a $2 billion fraud at Punjab National Bank. The ministry`s Department of Financial Services also ordered state-run lenders to comb through their bad loans of more than 500 million rupees ($7.68 million) for potential fraud. "In the short-term, these finance ministry directives could create panic in the market," said Sumit Pokharna, deputy vice president, Kotak Securities. "There are many loans which are more than 500 million rupees and that could be a problem now, but it is definitely a good step in the long run." Investors are also looking out for key domestic economic data this week including Oct-Dec gross domestic product (GDP) due later in the day. A Reuters poll forecast GDP expansion at 6.9 percent, the fastest in 2017. The broader NSE Nifty was down 0.52 percent at 10,499.75 as of 0604 GMT, while the benchmark BSE Sensex was 0.48 percent lower at 34,180.61. The Nifty PSU Bank index fell as much as 2.7 percent before recovering somewhat, dragged by PNB and Bank of India which fell as much as 6.46 percent and 5.4 percent, respectively. Tata Motors Ltd was down 1.4 percent after Morgan Stanley suggested avoiding automakers and related component manufacturers that are exposed to the EU premium car market. A top German court ruled on Tuesday in favour of allowing major cities to ban heavily polluting diesel cars. However, the information technology stocks eked out some gains, with Infosys Ltd rising as much as 1.6 percent.

Sensex falls for second day; global woes, banks weigh

Asian shares edged up on Monday, with sentiment boosted by expectations that the US lawmakers will pass a long-awaited tax bill this week, while Chinese stocks were soggy on concerns about liquidity and tighter regulations in the world&#39;s second-largest economy.

Meanwhile, the launch of bitcoin futures on the CME exchange bolstered expectations the cryptocurrency&#39;s red-hot rally in the cash market could continue, although their trading debut was tepid.&nbsp;MSCI&#39;s broadest index of Asia-Pacific shares outside Japan gained 0.4 percent. Japan&#39;s Nikkei was the best performer in the region, rising 1.6 percent to edge closer to a 25-year peak of 23,382 points set last month.

European and US stocks are also expected to have a solid start to the week. The near-month FTSE futures contract and the e-mini S&amp;P futures were each up 0.2 percent. Dow futures rose 0.4 percent.&nbsp;Global stock markets have surged this year, largely led by expectations of a US tax overhaul.

The reform is seen boosting corporate profits, triggering share buybacks and higher dividend payouts - a boon for shareholders.&nbsp;Votes on the legislation are expected this week.&nbsp;But the mood was dour in Asia&#39;s biggest economy where the People&#39;s Bank of China increased rates on reverse repurchase agreements, or reverse repos, triggering concerns about tight year-end liquidity.&nbsp;

Chinese shares eased, with Shanghai&#39;s SSE Composite index down 0.2 percent after opening higher. The bluechip CSI 300 also came off the day&#39;s high to be largely unchanged.&nbsp;China will be in focus this week as investors look for news from a three day Central Economic Work conference starting Monday where Communist Party leaders will discuss economic policy, including growth targets.

&quot;While there are no obvious signs yet, we do expect a modest slowdown in Chinese growth in coming months&quot;, said Steve Waddington, portfolio manager at Insight Investment, which has A$930 billion ($712 billion) in assets under management.&nbsp;China could lower its growth target to 6.0 percent from 6.5 percent, Waddington added, amid tighter financial conditions and stricter regulation aimed at reducing leverage.

Currencies

Bitcoin futures received a lukewarm reception on its first day of trading on the CME exchange, with the near-month contract down 0.3 percent on thin volumes.&nbsp;In the cash market, bitcoin was last down 0.5 percent at $18,851 after hitting a record $19,666 on Sunday on the Luxembourg-based Bitstamp Exchange.&nbsp;

&quot;The introduction (of futures contracts) has added validity, acknowledging bitcoin as a legitimate asset&quot;, said Shane Chanel, a fund manager at ASR Wealth Advisers.&nbsp;&quot;The launch should increase buy-side pressure and potentially be the catalyst that pushes bitcoin above $20,000&quot;.

In currencies, the US dollar stayed above a 1-1/2 week trough against the Japanese yen, after slipping 0.8 percent last week.&nbsp;Trading was generally thin as investors wound up their books ahead of Christmas holidays.

The British pound inched up but was still near 3-week lows as Prime Minister Theresa May prepared for a week of difficult meetings in an effort to unite a divided cabinet over Brexit talks.&nbsp;In commodities, oil prices were slightly firmer with US crude up 30 cents at $57.60 while Brent crude rose 28 cents to $63.50.&nbsp;Spot gold was slightly up at $1,256.55.

Global stock markets have surged this year, largely led by expectations of a US tax overhaul

Asian shares edged up on Monday, with sentiment boosted by expectations that the US lawmakers will pass a long-awaited tax bill this week, while Chinese stocks were soggy on concerns about liquidity and tighter regulations in the world's second-largest economy. Meanwhile, the launch of bitcoin futures on the CME exchange bolstered expectations the cryptocurrency's red-hot rally in the cash market could continue, although their trading debut was tepid. MSCI's broadest index of Asia-Pacific shares outside Japan gained 0.4 percent. Japan's Nikkei was the best performer in the region, rising 1.6 percent to edge closer to a 25-year peak of 23,382 points set last month. European and US stocks are also expected to have a solid start to the week. The near-month FTSE futures contract and the e-mini S&P futures were each up 0.2 percent. Dow futures rose 0.4 percent. Global stock markets have surged this year, largely led by expectations of a US tax overhaul. The reform is seen boosting corporate profits, triggering share buybacks and higher dividend payouts - a boon for shareholders. Votes on the legislation are expected this week. But the mood was dour in Asia's biggest economy where the People's Bank of China increased rates on reverse repurchase agreements, or reverse repos, triggering concerns about tight year-end liquidity. Chinese shares eased, with Shanghai's SSE Composite index down 0.2 percent after opening higher. The bluechip CSI 300 also came off the day's high to be largely unchanged. China will be in focus this week as investors look for news from a three day Central Economic Work conference starting Monday where Communist Party leaders will discuss economic policy, including growth targets. "While there are no obvious signs yet, we do expect a modest slowdown in Chinese growth in coming months", said Steve Waddington, portfolio manager at Insight Investment, which has A$930 billion ($712 billion) in assets under management. China could lower its growth target to 6.0 percent from 6.5 percent, Waddington added, amid tighter financial conditions and stricter regulation aimed at reducing leverage. Currencies Bitcoin futures received a lukewarm reception on its first day of trading on the CME exchange, with the near-month contract down 0.3 percent on thin volumes. In the cash market, bitcoin was last down 0.5 percent at $18,851 after hitting a record $19,666 on Sunday on the Luxembourg-based Bitstamp Exchange. "The introduction (of futures contracts) has added validity, acknowledging bitcoin as a legitimate asset", said Shane Chanel, a fund manager at ASR Wealth Advisers. "The launch should increase buy-side pressure and potentially be the catalyst that pushes bitcoin above $20,000". In currencies, the US dollar stayed above a 1-1/2 week trough against the Japanese yen, after slipping 0.8 percent last week. Trading was generally thin as investors wound up their books ahead of Christmas holidays. The British pound inched up but was still near 3-week lows as Prime Minister Theresa May prepared for a week of difficult meetings in an effort to unite a divided cabinet over Brexit talks. In commodities, oil prices were slightly firmer with US crude up 30 cents at $57.60 while Brent crude rose 28 cents to $63.50. Spot gold was slightly up at $1,256.55.

Asian shares rise on US tax cut hopes; China in focus

Asian shares were a tad firmer on Thursday, <a href="http://www.wionews.com/business-economy/tokyo-stocks-open-higher-as-worries-about-us-north-korea-tensions-ease-18797" target="_blank">taking their cues from strong US data although holiday-thinned trade</a> and uncertainty about the impact of recent hurricanes on the US economy are likely to keep investors cautious.

Japan&#39;s Nikkei was almost flat while Australian shares ticked up 0.2 per cent.

MSCI&#39;s broadest index of Asia-Pacific shares outside <a href="http://www.wionews.com/world/tokyo-stocks-open-higher-snap-vote-eyed-20592" target="_blank">Japan was almost flat with Hong Kong and South Korea</a>, as well as mainland China, closed for public holidays.

Wall Street&#39;s three major stock indexes hit fresh highs on Wednesday as did MSCI&#39;s all-country world stock index.

The Institute for Supply Management&#39;s index of non-manufacturing activity rose to 59.8 in September, it&#39;s the highest reading since August 2005, pointing to the resilience of the vast US services sector despite disruption from two powerful hurricanes.

The data came after a surge to a 13-year high in the survey of manufacturers as well as car sales at 12-year high, both released earlier this week.

&quot;Shares markets were supported as economic data was generally strong,&quot; said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui Asset Management.

But analysts also cautioned that the data reflected temporary demand stemming from repair and replacement spending in the aftermath of the hurricanes.

Data from private payrolls processor ADP showed monthly hiring slowed to an 11-month low of 135,000 [USADP=ECI], again due partly to disruptions from hurricanes, although this was better than economists&#39; median forecast.

Economists expect Friday&#39;s nonfarm payrolls report, one of the most closely watched pieces of economic data in financial markets, to show a similar slowdown.

They estimate a payroll increase in September of 90,000, substantially lower than the average over the past year of around 175,000, though some say investors may need to pay attention to state data due on October 20 to exclude the impact from hurricanes.

US bond yields were off their lows as bond prices fell, but yields were held below multi-month peaks hit earlier in the year. The 10-year US bond yield stood at 2.328 per cent, below Monday&#39;s 12-week high of 2.371 per cent.

&quot;Because US economic data for August to October is likely to be disrupted by hurricanes, markets may show a much smaller response to them,&quot; said Tomoaki Shishido, fixed income analyst at Nomura Securities.

&quot;In that regard, the market will be focusing more on policy issues, such as tax cuts and the choice of the next Fed chair,&quot; he added.

US President Donald Trump proposed a tax overhaul late last month though it remains to be seen whether the plan can get through Congress given the divisions among Republicans.

Trump has promised to decide this month on a new chief for the Federal Reserve to replace Janet Yellen, whose term expires in February.

High-rated bonds were affected by worries about Catalonia&#39;s independence vote from Spain.

The yield on Spanish bonds shot up to the highest level since March as prices fell, stretching the gap over German benchmarks to the widest in more than five months after Catalonia&#39;s secessionist leader said the region will declare independence in &quot;days.&quot;

Spain&#39;s IBEX stock index posted its worst single-day loss in 15 months with a 2.85 per cent decline on Wednesday.

Catalonia will move to declare independence from Spain on Monday while Spanish Prime Minister Mariano Rajoy&#39;s government said Catalonia must to &quot;return to the path of law&quot; before any negotiations could take place.

In currency markets, the euro steadied after weakness since late last month and last traded at $1.1761, off Tuesday&#39;s 1-1/2-month low of $1.16955.

The dollar stood at 112.77 yen, below last week&#39;s high of 113.26, on uncertainties over Japan&#39;s election on October 22.

Although Prime Minister Shinzo Abe&#39;s ruling coalition is likely to retain a majority, it could lose some seats, possibly weakening Abe&#39;s grip on power.

The Australian dollar dropped 0.4 per cent to 78.30 cents after unexpectedly weak local retail sales data.

Oil slipped after a surprising jump in US crude exports to a record 2 million barrels per day fanned worries about global oversupply.

Brent crude futures hit a two-week low of $55.38 per barrel on Wednesday and last stood at $55.92. US crude WTI futures also hit a two-week low of $49.76 per barrel and last traded at $49.98.

Elsewhere, Qatar&#39;s stock index sank to a five-year low on Wednesday, hurt by the effects of sanctions imposed by neighbouring states.

Asian shares were a tad firmer on Thursday, taking their cues from strong US data although holiday-thinned trade and uncertainty about the impact of recent hurricanes on the US economy are likely to keep investors cautious

Asian shares were a tad firmer on Thursday, taking their cues from strong US data although holiday-thinned trade and uncertainty about the impact of recent hurricanes on the US economy are likely to keep investors cautious. Japan's Nikkei was almost flat while Australian shares ticked up 0.2 per cent. MSCI's broadest index of Asia-Pacific shares outside Japan was almost flat with Hong Kong and South Korea, as well as mainland China, closed for public holidays. Wall Street's three major stock indexes hit fresh highs on Wednesday as did MSCI's all-country world stock index. The Institute for Supply Management's index of non-manufacturing activity rose to 59.8 in September, it's the highest reading since August 2005, pointing to the resilience of the vast US services sector despite disruption from two powerful hurricanes. The data came after a surge to a 13-year high in the survey of manufacturers as well as car sales at 12-year high, both released earlier this week. "Shares markets were supported as economic data was generally strong," said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui Asset Management. But analysts also cautioned that the data reflected temporary demand stemming from repair and replacement spending in the aftermath of the hurricanes. Data from private payrolls processor ADP showed monthly hiring slowed to an 11-month low of 135,000 [USADP=ECI], again due partly to disruptions from hurricanes, although this was better than economists' median forecast. Economists expect Friday's nonfarm payrolls report, one of the most closely watched pieces of economic data in financial markets, to show a similar slowdown. They estimate a payroll increase in September of 90,000, substantially lower than the average over the past year of around 175,000, though some say investors may need to pay attention to state data due on October 20 to exclude the impact from hurricanes. US bond yields were off their lows as bond prices fell, but yields were held below multi-month peaks hit earlier in the year. The 10-year US bond yield stood at 2.328 per cent, below Monday's 12-week high of 2.371 per cent. "Because US economic data for August to October is likely to be disrupted by hurricanes, markets may show a much smaller response to them," said Tomoaki Shishido, fixed income analyst at Nomura Securities. "In that regard, the market will be focusing more on policy issues, such as tax cuts and the choice of the next Fed chair," he added. US President Donald Trump proposed a tax overhaul late last month though it remains to be seen whether the plan can get through Congress given the divisions among Republicans. Trump has promised to decide this month on a new chief for the Federal Reserve to replace Janet Yellen, whose term expires in February. High-rated bonds were affected by worries about Catalonia's independence vote from Spain. The yield on Spanish bonds shot up to the highest level since March as prices fell, stretching the gap over German benchmarks to the widest in more than five months after Catalonia's secessionist leader said the region will declare independence in "days." Spain's IBEX stock index posted its worst single-day loss in 15 months with a 2.85 per cent decline on Wednesday. Catalonia will move to declare independence from Spain on Monday while Spanish Prime Minister Mariano Rajoy's government said Catalonia must to "return to the path of law" before any negotiations could take place. In currency markets, the euro steadied after weakness since late last month and last traded at $1.1761, off Tuesday's 1-1/2-month low of $1.16955. The dollar stood at 112.77 yen, below last week's high of 113.26, on uncertainties over Japan's election on October 22. Although Prime Minister Shinzo Abe's ruling coalition is likely to retain a majority, it could lose some seats, possibly weakening Abe's grip on power. The Australian dollar dropped 0.4 per cent to 78.30 cents after unexpectedly weak local retail sales data. Oil slipped after a surprising jump in US crude exports to a record 2 million barrels per day fanned worries about global oversupply. Brent crude futures hit a two-week low of $55.38 per barrel on Wednesday and last stood at $55.92. US crude WTI futures also hit a two-week low of $49.76 per barrel and last traded at $49.98. Elsewhere, Qatar's stock index sank to a five-year low on Wednesday, hurt by the effects of sanctions imposed by neighbouring states.

Asian shares edge up slightly after strong US data

Indian shares fell for a third consecutive session on Wednesday, dragged down by financial and healthcare stocks, as escalating tensions on the Korean peninsula hit regional markets.

Asian shares and US stock futures slipped after Pyongyang said it is considering plans to attack Guam, just hours after <a href="http://www.wionews.com/world/north-korea-threatens-strike-on-guam-after-trumps-fire-and-fury-warning-18729">US President Donald Trump told North Korea</a> that any threat to the United States would be met with &quot;fire and fury.&quot;

Analysts said any fall in domestic equities could be limited. Shares have hit records highs this year on prospects of improving earnings and economic and fiscal reforms from the government.

&quot;Global news flow is weighing heavy on the markets. I don&#39;t think there is more than 4-5 pct downside from the levels we&#39;ve seen recently,&quot; said Gaurang Shah, head investment strategist, Geojit Financial Services.

The broader NSE Nifty was down 0.29 per cent at 9,949.50 as of 0528 GMT, while the benchmark BSE&nbsp;Sensex&nbsp;was 0.38 per cent lower at 31,893.61.

Drugmaker Sun Pharmaceutical Industries&#39; shares slumped as much as 5 per cent to their lowest in over four years after unit Taro Pharmaceutical Industries June-qtr profit halved to $54.5 million.

The Nifty Pharma index fell as much as 2.2 per cent to its lowest in over two months.

Nifty Bank index was trading 0.5 per cent lower, after falling nearly a per cent in the last two sessions.

Asian shares and US stock futures slipped after Pyongyang said it is considering plans to attack Guam, just hours after US President Donald Trump told North Korea that any threat to the United States would be met with "fire and fury."

Indian shares fell for a third consecutive session on Wednesday, dragged down by financial and healthcare stocks, as escalating tensions on the Korean peninsula hit regional markets. Asian shares and US stock futures slipped after Pyongyang said it is considering plans to attack Guam, just hours after US President Donald Trump told North Korea that any threat to the United States would be met with "fire and fury." Analysts said any fall in domestic equities could be limited. Shares have hit records highs this year on prospects of improving earnings and economic and fiscal reforms from the government. "Global news flow is weighing heavy on the markets. I don't think there is more than 4-5 pct downside from the levels we've seen recently," said Gaurang Shah, head investment strategist, Geojit Financial Services. The broader NSE Nifty was down 0.29 per cent at 9,949.50 as of 0528 GMT, while the benchmark BSE Sensex was 0.38 per cent lower at 31,893.61. Drugmaker Sun Pharmaceutical Industries' shares slumped as much as 5 per cent to their lowest in over four years after unit Taro Pharmaceutical Industries June-qtr profit halved to $54.5 million. The Nifty Pharma index fell as much as 2.2 per cent to its lowest in over two months. Nifty Bank index was trading 0.5 per cent lower, after falling nearly a per cent in the last two sessions.

Sensex dips over Korea tension

Asian shares edged lower on Tuesday as investors nervously awaited the outcomes of two-day Federal Reserve and Bank of Japan policy meetings. 
 
&quot;The market is more nervous about the BOJ than the Fed as it may give the market a surprise,&quot; said Yutaka Miura, a senior technical analyst at Mizuho Securities. 
 
Global markets have been blowing hot and cold in recent weeks over the Fed&#39;s intentions, which remain far from clarified after both hawkish and dovish comments from several Fed officials. 
 
The consensus is that the Fed will leave interest rates unchanged at the end of its meeting on Wednesday, with investors focusing on the statement as well as Chair Janet Yellen&#39;s speech for clues on the timing of the central bank&#39;s next interest rate increase. 
 
&quot;It&#39;s a lot of uncertainty, leading into the Fed,&quot; said Jennifer Vail, head of fixed income research at U.S. Bank Wealth Management in Portland, Oregon. 
 
While Vail, like most strategists and investors, expects the Fed to refrain from taking any new steps, she said its statement could include language that&#39;s been missing from its recent assessments, such as whether economic risks were &quot;balanced&quot; or &quot;close to balanced.&quot; 
 
MSCI&#39;s broadest index of Asia-Pacific shares outside Japan slipped 0.2 percent, after major US indexes ended a choppy session nearly flat. 
 
Australian shares were 0.2 percent lower. The Australian Securities Exchange opened without incident on Tuesday after technical faults caused extensive disruptions on Monday. 
 
Japan&#39;s Nikkei stock index erased earlier losses and added 0.1 percent, as trading resumed after a public holiday on Monday. Tokyo markets will be closed for another holiday on Thursday, with the highly-anticipated BOJ meeting sandwiched in between the market closures. 
 
The BOJ could make negative interest rates the primary focus of its monetary policy at the conclusion of its meeting on Wednesday, when it conducts what it described as a &quot;comprehensive&quot; assessment of its policies. 
 
Sources have said BOJ policymakers may consider deepening negative interest rates to show its determination to maintain an ultra-easy policy bias. It unveiled the controversial policy in late January. 
 
&quot;The resulting strength of the yen since then can&#39;t really give them a positive outlook on negative rates,&quot; said US Bank Wealth Management&#39;s Vail, adding that &quot;the risk is for lack of any action, given the lack of consensus&quot; among BOJ members. 
 
Rising speculation that the BOJ will stop short of the dramatic action needed to weaken its currency helped send the dollar to a six-day low against the yen of 101.56 yen on Monday. The dollar was last steady on the day at 101.90 yen. 
 
Wary of a flattening Japanese government bond (JGB) yield curve, the BOJ also could seek ways to steepen the curve, such as making its bond buying more flexible. 
 
Policymakers got a taste last week of how markets might react when investors dumped longer-dated bonds on fears the BOJ would slow its purchasing pace. 
 
&quot;We look for the BOJ to take a more flexible stance on the time horizon for reaching its price stability target and on the pace of its JGB purchases, but expect it to refrain from further easing at this meeting,&quot; strategists at Barclays said. 
 
The euro was also steady at $1.1172, remaining well above Monday&#39;s nearly two-week low of $1.1149. 
 
The dollar index, which tracks the greenback against a basket of six major rivals, was slightly higher at 95.874, though it was shy of Friday&#39;s two-week high of 96.108. 
 
US crude oil futures slipped 0.5 percent to $43.07 a barrel, moving further away from overnight highs. Brent edged 0.3 percent lower to $45.82. 
 
Oil had rallied on Monday before settling off its highs on scepticism over Venezuela&#39;s bid to talk up a potential OPEC output freeze, and on indications US crude stockpiles had risen last week. 
 
Spot gold added 0.2 per cent to $1,315.84 an ounce, on expectations that the Fed will stand pat on rates.

(Reuters)

Global markets have been blowing hot and cold in recent weeks over the Fed's intentions, which remain far from clarified

Asian shares edged lower on Tuesday as investors nervously awaited the outcomes of two-day Federal Reserve and Bank of Japan policy meetings. "The market is more nervous about the BOJ than the Fed as it may give the market a surprise," said Yutaka Miura, a senior technical analyst at Mizuho Securities. Global markets have been blowing hot and cold in recent weeks over the Fed's intentions, which remain far from clarified after both hawkish and dovish comments from several Fed officials. The consensus is that the Fed will leave interest rates unchanged at the end of its meeting on Wednesday, with investors focusing on the statement as well as Chair Janet Yellen's speech for clues on the timing of the central bank's next interest rate increase. "It's a lot of uncertainty, leading into the Fed," said Jennifer Vail, head of fixed income research at U.S. Bank Wealth Management in Portland, Oregon. While Vail, like most strategists and investors, expects the Fed to refrain from taking any new steps, she said its statement could include language that's been missing from its recent assessments, such as whether economic risks were "balanced" or "close to balanced." MSCI's broadest index of Asia-Pacific shares outside Japan slipped 0.2 percent, after major US indexes ended a choppy session nearly flat. Australian shares were 0.2 percent lower. The Australian Securities Exchange opened without incident on Tuesday after technical faults caused extensive disruptions on Monday. Japan's Nikkei stock index erased earlier losses and added 0.1 percent, as trading resumed after a public holiday on Monday. Tokyo markets will be closed for another holiday on Thursday, with the highly-anticipated BOJ meeting sandwiched in between the market closures. The BOJ could make negative interest rates the primary focus of its monetary policy at the conclusion of its meeting on Wednesday, when it conducts what it described as a "comprehensive" assessment of its policies. Sources have said BOJ policymakers may consider deepening negative interest rates to show its determination to maintain an ultra-easy policy bias. It unveiled the controversial policy in late January. "The resulting strength of the yen since then can't really give them a positive outlook on negative rates," said US Bank Wealth Management's Vail, adding that "the risk is for lack of any action, given the lack of consensus" among BOJ members. Rising speculation that the BOJ will stop short of the dramatic action needed to weaken its currency helped send the dollar to a six-day low against the yen of 101.56 yen on Monday. The dollar was last steady on the day at 101.90 yen. Wary of a flattening Japanese government bond (JGB) yield curve, the BOJ also could seek ways to steepen the curve, such as making its bond buying more flexible. Policymakers got a taste last week of how markets might react when investors dumped longer-dated bonds on fears the BOJ would slow its purchasing pace. "We look for the BOJ to take a more flexible stance on the time horizon for reaching its price stability target and on the pace of its JGB purchases, but expect it to refrain from further easing at this meeting," strategists at Barclays said. The euro was also steady at $1.1172, remaining well above Monday's nearly two-week low of $1.1149. The dollar index, which tracks the greenback against a basket of six major rivals, was slightly higher at 95.874, though it was shy of Friday's two-week high of 96.108. US crude oil futures slipped 0.5 percent to $43.07 a barrel, moving further away from overnight highs. Brent edged 0.3 percent lower to $45.82. Oil had rallied on Monday before settling off its highs on scepticism over Venezuela's bid to talk up a potential OPEC output freeze, and on indications US crude stockpiles had risen last week. Spot gold added 0.2 per cent to $1,315.84 an ounce, on expectations that the Fed will stand pat on rates. (Reuters)

Asia stocks waver as investors nervously await Fed, BOJ

Asian shares fell on Thursday, reversing recent gains following losses on Wall Street, though regional currencies rose after Beijing let the Chinese yuan strengthen to mark the one-year anniversary of a landmark devaluation. 
 
Broad risk sentiment remains on the back foot as oil prices tumbled on news of a surprising jump in US government stockpiles and as Singapore, the region&#39;s bellwether for trade, cut its economic forecast for the year. 
 
&quot;I still think the investors are trying to hang in there for the rally and while the general opinion seems to be that the Chinese authorities have steadied the ship, it is still a bit too early to draw that conclusion,&quot; said Cliff Tan, Bank of Tokyo-Mitsubishi UFJ&#39;s east Asia head of global markets research. 
 
MSCI&#39;s broadest index of Asia-Pacific shares outside Japan fell 0.5 per cent. It hit a one-year high on Wednesday and has broadly outperformed the MSCI world index since end-June. 
 
Hong Kong and Indonesia led regional gainers in trade. Japan&#39;s markets are closed for a holiday. 
 
Singapore cut its economic growth forecast on concerns over Brexit and weakening global demand with official forecasts downgraded to an expansion of one to three per cent this year from a previous forecast of one to three per cent growth. 
 
The surprising jump in US government oil stockpiles weighed on the S&amp;P 500 and Dow Jones indices, which closed 0.29 per cent and 0.20 per cent down, respectively. 
 
The energy sector was among the worst-performing of the 10 major S&amp;P groups, falling 1.4 per cent after data from the US Energy Information Administration (EIA) showed US crude inventories rose 1.1 million barrels in the weekend of Aug. 5, a third consecutive weekly rise that surprised the market. 
 
A weakening stock market and strong demand for government debt at bond auctions pushed yields down further. 
 
The yield on the benchmark 10-year Treasury note extended a recent fall to 1.508 per cent while the yield on 10-year UK gilts tumbled to a record low of 0.52 per cent. 
 
The fall in gilt yield came after the Bank of England said it would buy the 52 million pound (US$67.5 million) remainder of Tuesday&#39;s reverse auction shortfall in the second half of its bond-buying program. 
 
In Asia, yields on 10-year benchmark New Zealand bonds fell to 2.18 per cent after the Reserve Bank of New Zealand cut its official cash rate by 25 basis points to a record low of two per cent as widely expected. 
 
In currency markets, the dollar was broadly flat against a basket of currencies, nursing recent losses sustained in the wake of Friday&#39;s strong US jobs report. 
 
The Chinese yuan led regional currencies higher after the People&#39;s Bank of China let the yuan appreciate slightly to mark the anniversary of the one-year devaluation. 
 
It has weakened by more than 8 per cent since then, though some analysts say that weakness may be fading. 
 
&quot;There have emerged signs the yuan has stabilised somewhat recently as capital outflows have eased and the market has adjusted the expectations on Fed&#39;s rate hike process,&quot; said Zhou Hao, senior emerging market economist, Asia at Commerzbank AG. 
 
More clarity about the US economy&#39;s health and the Federal Reserve&#39;s next move on interest rates could come with Friday&#39;s release of July retail sales and a speech by Fed Chair Janet Yellen later this month. 
 
US West Texas Intermediate crude eased 0.7 per cent lower to $41.41 per barrel after sustaining sharp losses overnight. Brent crude fell 0.6 per cent to $43.77 per barrel. 
 
Gold consolidated overnight gains to trade at $1,343.26 per ounce after posting overnight gains. 
 
(Reuters)

News of a jump in US government stockpiles and Singapore's cutting of its economic forecast for the year likely to have impacted the share

Asian shares fell on Thursday, reversing recent gains following losses on Wall Street, though regional currencies rose after Beijing let the Chinese yuan strengthen to mark the one-year anniversary of a landmark devaluation. Broad risk sentiment remains on the back foot as oil prices tumbled on news of a surprising jump in US government stockpiles and as Singapore, the region's bellwether for trade, cut its economic forecast for the year. "I still think the investors are trying to hang in there for the rally and while the general opinion seems to be that the Chinese authorities have steadied the ship, it is still a bit too early to draw that conclusion," said Cliff Tan, Bank of Tokyo-Mitsubishi UFJ's east Asia head of global markets research. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.5 per cent. It hit a one-year high on Wednesday and has broadly outperformed the MSCI world index since end-June. Hong Kong and Indonesia led regional gainers in trade. Japan's markets are closed for a holiday. Singapore cut its economic growth forecast on concerns over Brexit and weakening global demand with official forecasts downgraded to an expansion of one to three per cent this year from a previous forecast of one to three per cent growth. The surprising jump in US government oil stockpiles weighed on the S&P 500 and Dow Jones indices, which closed 0.29 per cent and 0.20 per cent down, respectively. The energy sector was among the worst-performing of the 10 major S&P groups, falling 1.4 per cent after data from the US Energy Information Administration (EIA) showed US crude inventories rose 1.1 million barrels in the weekend of Aug. 5, a third consecutive weekly rise that surprised the market. A weakening stock market and strong demand for government debt at bond auctions pushed yields down further. The yield on the benchmark 10-year Treasury note extended a recent fall to 1.508 per cent while the yield on 10-year UK gilts tumbled to a record low of 0.52 per cent. The fall in gilt yield came after the Bank of England said it would buy the 52 million pound (US$67.5 million) remainder of Tuesday's reverse auction shortfall in the second half of its bond-buying program. In Asia, yields on 10-year benchmark New Zealand bonds fell to 2.18 per cent after the Reserve Bank of New Zealand cut its official cash rate by 25 basis points to a record low of two per cent as widely expected. In currency markets, the dollar was broadly flat against a basket of currencies, nursing recent losses sustained in the wake of Friday's strong US jobs report. The Chinese yuan led regional currencies higher after the People's Bank of China let the yuan appreciate slightly to mark the anniversary of the one-year devaluation. It has weakened by more than 8 per cent since then, though some analysts say that weakness may be fading. "There have emerged signs the yuan has stabilised somewhat recently as capital outflows have eased and the market has adjusted the expectations on Fed's rate hike process," said Zhou Hao, senior emerging market economist, Asia at Commerzbank AG. More clarity about the US economy's health and the Federal Reserve's next move on interest rates could come with Friday's release of July retail sales and a speech by Fed Chair Janet Yellen later this month. US West Texas Intermediate crude eased 0.7 per cent lower to $41.41 per barrel after sustaining sharp losses overnight. Brent crude fell 0.6 per cent to $43.77 per barrel. Gold consolidated overnight gains to trade at $1,343.26 per ounce after posting overnight gains. (Reuters)

Asian shares retreat as oil slips, Yuan pulls peers higher

Asian shares snapped a five-day winning streak on Tuesday as investors took stock of a rally driven by hopes that central banks will provide more stimulus to offset a likely downturn triggered by Brexit. 
 
MSCI&#39;s broadest index of Asia-Pacific shares outside Japan fell 0.7 per cent, but was still within reach of its June 9 peak, having risen 5.6 per cent from its low after the Brexit vote on June 23. 
 
Japan&#39;s Nikkei dropped 0.9 per cent. 
 
Chinese shares rose, with the CSI 300 up 0.3 per cent, while the Shanghai Composite added 0.6 per cent, buoyed in part by a private business survey which showed growth in the services sector jumped to an 11-month high. But Hong Kong&#39;s Hang Seng retreated 0.8 percent. 
 
But trade was thin, with financial and commodities markets in the United States closed on Monday for Independence Day. 
 
In Europe, the FTSEurofirst 300 index fell 0.6 per cent, snapping its four-day winning streak, led by a 1.6 per cent decline in bank shares. 
 
Shares in Italian banks, saddled with a mountain of bad loans, dropped 3.7 per cent after Italian Prime Minister Matteo Renzi&#39;s spokesman said the country had no plans to pump public money into its banks, a move that could be seen as defying EU rules. 
 
Oil prices retreated as analysts predicted demand will weaken amid concerns about the global economic outlook. 
 
Brent crude slipped 0.7 per cent to $49.74 a barrel, after gaining 6.2 per cent over the week through Monday. 
 
US crude slipped 1.2 per cent to $48.41, eating into the 5.7 per cent advance made over the prior week. 
 
Overnight the price of precious and base metals hit multi-month highs before giving up gains as traders bet on more stimulus. 
 
Silver relinquished some of its gains from the past few sessions that had sent it to a two-year high of $21.107 an ounce on Monday. The metal, which rose 14.6 per cent over the week ended Monday, fell 1.8 per cent to $19.93. 
 
Gold also closed at a two-year high of $1,357.40 per ounce on Monday and last stood at $1,344.56. 
 
The price of copper and aluminium hit two-month highs on Monday while lead hit a four-month peak. 
 
&quot;Various commodities are rising even though there is no clear sign of sudden improvement in demand in each market,&quot; said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui Asset Management. 
 
&quot;Their rally seems to be driven by hopes of stimulus.&quot; 
 
Britain&#39;s vote to leave the European Union has ramped up the urgency for some Asian central banks to ease monetary policy, as a prolonged period of uncertainty threatens a wider downshift in trade and investment. 
 
Many investors expect the European Central Bank and the Bank of Japan to expand their monetary easing. Base metal prices were also bolstered by talk of stimulus in China. 
 
The euro slid 0.2 per cent to $1.11305, but retained most of the gains made since its 3 1/2-month low of $1.0912 hit in the wake of the UK referendum. 
 
The Bank of England has indicated it could provide stimulus measures to support the economy in coming months. 
 
That kept the pound close to its 31-year trough hit in the wake of the Brexit decision. 
 
Sterling dropped 0.3 per cent to $1.3253, just one per cent above its June 27 low of $1.3122. 
 
The yen strengthened 0.4 per cent to 102.16 to the dollar. 
 
The Australian dollar pulled back 0.3 per cent to $0.7515. On Monday, it shrugged off political uncertainty caused by Australia&#39;s undecided general election to rise to $0.7545, its highest level since June 24, helped by the advance in commodities. 
 
The Australian central bank is widely expected to keep interest rates unchanged at its policy announcement at 0430 GMT. 
 
(Reuters)

MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.7 per cent, but was still within reach of its June 9 peak

Asian shares snapped a five-day winning streak on Tuesday as investors took stock of a rally driven by hopes that central banks will provide more stimulus to offset a likely downturn triggered by Brexit. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.7 per cent, but was still within reach of its June 9 peak, having risen 5.6 per cent from its low after the Brexit vote on June 23. Japan's Nikkei dropped 0.9 per cent. Chinese shares rose, with the CSI 300 up 0.3 per cent, while the Shanghai Composite added 0.6 per cent, buoyed in part by a private business survey which showed growth in the services sector jumped to an 11-month high. But Hong Kong's Hang Seng retreated 0.8 percent. But trade was thin, with financial and commodities markets in the United States closed on Monday for Independence Day. In Europe, the FTSEurofirst 300 index fell 0.6 per cent, snapping its four-day winning streak, led by a 1.6 per cent decline in bank shares. Shares in Italian banks, saddled with a mountain of bad loans, dropped 3.7 per cent after Italian Prime Minister Matteo Renzi's spokesman said the country had no plans to pump public money into its banks, a move that could be seen as defying EU rules. Oil prices retreated as analysts predicted demand will weaken amid concerns about the global economic outlook. Brent crude slipped 0.7 per cent to $49.74 a barrel, after gaining 6.2 per cent over the week through Monday. US crude slipped 1.2 per cent to $48.41, eating into the 5.7 per cent advance made over the prior week. Overnight the price of precious and base metals hit multi-month highs before giving up gains as traders bet on more stimulus. Silver relinquished some of its gains from the past few sessions that had sent it to a two-year high of $21.107 an ounce on Monday. The metal, which rose 14.6 per cent over the week ended Monday, fell 1.8 per cent to $19.93. Gold also closed at a two-year high of $1,357.40 per ounce on Monday and last stood at $1,344.56. The price of copper and aluminium hit two-month highs on Monday while lead hit a four-month peak. "Various commodities are rising even though there is no clear sign of sudden improvement in demand in each market," said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui Asset Management. "Their rally seems to be driven by hopes of stimulus." Britain's vote to leave the European Union has ramped up the urgency for some Asian central banks to ease monetary policy, as a prolonged period of uncertainty threatens a wider downshift in trade and investment. Many investors expect the European Central Bank and the Bank of Japan to expand their monetary easing. Base metal prices were also bolstered by talk of stimulus in China. The euro slid 0.2 per cent to $1.11305, but retained most of the gains made since its 3 1/2-month low of $1.0912 hit in the wake of the UK referendum. The Bank of England has indicated it could provide stimulus measures to support the economy in coming months. That kept the pound close to its 31-year trough hit in the wake of the Brexit decision. Sterling dropped 0.3 per cent to $1.3253, just one per cent above its June 27 low of $1.3122. The yen strengthened 0.4 per cent to 102.16 to the dollar. The Australian dollar pulled back 0.3 per cent to $0.7515. On Monday, it shrugged off political uncertainty caused by Australia's undecided general election to rise to $0.7545, its highest level since June 24, helped by the advance in commodities. The Australian central bank is widely expected to keep interest rates unchanged at its policy announcement at 0430 GMT. (Reuters)

Asian shares slide as investors ponder stimulus outlook

Asian shares rose after a tentative start on Tuesday, cautiously extending a rally triggered by growing expectations that British voters will opt to remain in the European Union (EU) in this week&#39;s referendum. 
 
Morgan Stanley Capital Investment&#39;s broadest index of Asia-Pacific shares outside Japan was up by 0.2 per cent. 
 
Investors remain wary ahead of Thursday&#39;s British vote, as well as Federal Reserve chief Janet Yellen&#39;s two-day testimony before Congress starting later on Tuesday, as she might offer clues on the timing of the next US interest rate increase. 
 
&quot;With Yellen&#39;s congressional testimony and the UK referendum on our doorstep, markets all around are exercising caution,&quot; said Andrew Meredith, co-managing director at Tyton Capital Advisors in Tokyo. 
 
Bookmakers&#39; odds have also shown &quot;Remain&quot; gaining traction in Britain&#39;s referendum, with Betfair putting the implied probability of such an outcome at 72 per cent on Monday, up from 60-67 per cent on Friday. 
 
Two of the latest polls showed the &quot;Remain&quot; camp in the lead, reversing a recent rise in support for pulling out and prompting a rally in global equities and the pound. 
 
&quot;The polls were not supposed to influence as much as they have, but overnight we have seen a rampant position adjustment and an unwind of Brexit hedges,&quot; wrote Chris Weston, chief market strategist at IG in Melbourne. 
 
Japan&#39;s Nikkei stock index reversed early losses and added 1 per cent. 
 
A Reuters poll showed that confidence at Japanese manufacturers inched up in June from the prior month&#39;s three-year low and is seen rising only slightly ahead, reflecting worries about the yen&#39;s rise as Britain decides whether or not to leave the EU. 
 
Minutes of the Bank of Japan&#39;s April meeting released on Tuesday showed policymakers believe overseas economies continue to pose downside risks to Japan&#39;s economy and prices. 
 
The Pound was steady on the day at $1.4660 after it rose as high as $1.4721 on Monday, extending a recovery from last Thursday&#39;s more than two-month trough of $1.4013. 
 
The Dollar added 0.2 percent to 104.13 Yen, moving away from Thursday&#39;s nearly two-year low of 103.55 that was hit after the Bank of Japan held policy steady, disappointing investors hoping for more stimulus. 
 
Finance Minister Taro Aso said on Tuesday that Japan would respond to rapid currency moves, although he said the country would not intervene in the market so &quot;easily.&quot; 
 
The Euro gained 0.2 per cent to $1.1331. 
 
Later in the session, Germany&#39;s constitutional court will rule on the emergency bond-buying plan devised by the European Central Bank (ECB) during the financial crisis. An outright rejection of the programme is viewed as unlikely, but the ruling could potentially upset the ECB&#39;s current programme and roil markets. 
 
Crude oil futures gave back some of their gains after surging 3 per cent on Monday as Brexit fears waned. 
 
Brent crude shed 0.5 per cent to $50.41 a barrel, while US crude was down 0.4 per cent at $49.18. 
 
Spot gold also inched lower, down 0.2 per cent to $1,286.11 an ounce.

Two of the latest polls show the 'Remain' camp in the lead and prompting a rally in global equities and the Pound

Asian shares rose after a tentative start on Tuesday, cautiously extending a rally triggered by growing expectations that British voters will opt to remain in the European Union (EU) in this week's referendum. Morgan Stanley Capital Investment's broadest index of Asia-Pacific shares outside Japan was up by 0.2 per cent. Investors remain wary ahead of Thursday's British vote, as well as Federal Reserve chief Janet Yellen's two-day testimony before Congress starting later on Tuesday, as she might offer clues on the timing of the next US interest rate increase. "With Yellen's congressional testimony and the UK referendum on our doorstep, markets all around are exercising caution," said Andrew Meredith, co-managing director at Tyton Capital Advisors in Tokyo. Bookmakers' odds have also shown "Remain" gaining traction in Britain's referendum, with Betfair putting the implied probability of such an outcome at 72 per cent on Monday, up from 60-67 per cent on Friday. Two of the latest polls showed the "Remain" camp in the lead, reversing a recent rise in support for pulling out and prompting a rally in global equities and the pound. "The polls were not supposed to influence as much as they have, but overnight we have seen a rampant position adjustment and an unwind of Brexit hedges," wrote Chris Weston, chief market strategist at IG in Melbourne. Japan's Nikkei stock index reversed early losses and added 1 per cent. A Reuters poll showed that confidence at Japanese manufacturers inched up in June from the prior month's three-year low and is seen rising only slightly ahead, reflecting worries about the yen's rise as Britain decides whether or not to leave the EU. Minutes of the Bank of Japan's April meeting released on Tuesday showed policymakers believe overseas economies continue to pose downside risks to Japan's economy and prices. The Pound was steady on the day at $1.4660 after it rose as high as $1.4721 on Monday, extending a recovery from last Thursday's more than two-month trough of $1.4013. The Dollar added 0.2 percent to 104.13 Yen, moving away from Thursday's nearly two-year low of 103.55 that was hit after the Bank of Japan held policy steady, disappointing investors hoping for more stimulus. Finance Minister Taro Aso said on Tuesday that Japan would respond to rapid currency moves, although he said the country would not intervene in the market so "easily." The Euro gained 0.2 per cent to $1.1331. Later in the session, Germany's constitutional court will rule on the emergency bond-buying plan devised by the European Central Bank (ECB) during the financial crisis. An outright rejection of the programme is viewed as unlikely, but the ruling could potentially upset the ECB's current programme and roil markets. Crude oil futures gave back some of their gains after surging 3 per cent on Monday as Brexit fears waned. Brent crude shed 0.5 per cent to $50.41 a barrel, while US crude was down 0.4 per cent at $49.18. Spot gold also inched lower, down 0.2 per cent to $1,286.11 an ounce.

Asian shares rise as Britain expected to stay in EU

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