Stocks Struggle for Momentum Ahead of US Eco Data – Asia Market Wrap
Asian markets traded in tight ranges on Wednesday, matching Wall Street’s swings, as investors remained cautious ahead of a flood of US economic data.
MSCI’s regional share index was up 0.1% as Hong Kong-listed Chinese companies underperformed. Futures for the S&P 500 and Nasdaq 100 indexes increased 0.2% each after the US benchmark completed its sixth advance in seven trading days on Tuesday. Bitcoin extended its recovery after surpassing $91,000 in the previous session.
The subdued swings in equities indicated that mood remains fragile ahead of the Fed and BoJ’s rate announcements this month. Later on Wednesday, the US will issue ADP’s November private-sector employment report, as well as the import price index and industrial production statistics from September. The September PCE index, the Fed’s favoured inflation gauge, is scheduled to be released on Friday after a lengthy wait.
Meanwhile, a gauge of Chinese stocks listed in Hong Kong fell more than 1%. In November, China’s services activity rose at its slowest rate in five months, according to a private poll, adding to evidence of slowing consumer demand.
Meanwhile, silver hit a new high as traders bet on sustained supply tightness and reduced borrowing costs in the US. Gold also rose. WTI oil was little changed as traders assessed the prospects for a resolution to the Ukraine conflict following high-level discussions between the US and Russia, although attacks on Moscow’s energy assets persisted.
