Global market sentiments appeared to be given a strong boost by trade data from China. The much larger than expected rise in export is seen as positive sign of global demand. While there were some weak spots in the set of data, investors are enjoying the rally anyway. The optimism is particular apparent in German 10-year yield jumps through 0.04 handle. US 10-year yield is also pressing 2.55 handle. In the currency markets, Australian Dollar is the strongest one with tight link to Chinese economy. Euro is second strongest, partly supported by flows linked to Japanese bank's plans to buy a German aviation finance business. Also, EU is seen as having healthy trade growth with China. Yen is currently the weakest, followed by Dollar. From the data, US is clearly lagging behind in trade due to its down policies. In Europe, currently, FTSE is up 0.20%. DAX is up 0.64%. CAC is up 0.38%. German 10-year yield is up 0.050 at 0.043. Earlier in Asia, Nikkei rose 073%. Hong Kong HSI rose 0.24%. China Shanghai SSE dropped -0.04%. Singapore Strait Times rose 0.03%. Japan 10-year JGB yield rose 0.0096 to -0.049. |
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