Market Insights & Analysis

Read our analysts' daily briefings, together with our Market Snapshot reports.

09 Sep 2015 08:55
Asian equity markets posted strong gains overnight, as risk appetite increased and market sentiment generally improved. The Nikkei index rebounded from recent losses and spiked over 7.7% (1340 points) towards 18,800, showing its biggest one-day gain since 2008. The Shanghai Composite index gained over 2.2% towards 3243, while the Hang Seng index rallied strongly over 900 points (+4.25%) towards 22,150.
09 Jun 2015 08:52
The G7 summit took an historic step in order to tackle environmental issues. Global leaders agreed to phase out fossil fuels by cutting greenhouse gas emissions by up to 70% of 2010 levels by 2050.
17 Nov 2014 08:41
Japan’s economy shrank by 0.4% in Q3 2014 against expectations of a 0.5% growth. Following a 1.8% decline in Q2 2014, the new GDP data put Japan into a technical recession. The USD declined sharply below 116.00 against the JPY reaching a low at 115.73 in today’s session.
14 Oct 2014 08:47
Asian equity markets remained under pressure overnight, tracking sharp declines in Wall Street. The Nikkei index plunged more than 360 points (-2.4%) breaching below the key level of 15,000, towards 14,930.
23 Jan 2014 08:41
China’s HSBC Manufacturing PMI flash declined to 49.6 in January, missing analysts’ estimates. European equity markets have been trading sideways in early trading ahead of the releases of key macroeconomic indicators later today. Gold retreated to its lowest level in nearly two weeks, while platinum eased from a 2-1/2 month high ahead of planned strikes at South African mines.
21 Jan 2014 07:47
Asian shares rebounded after a jittery start to the week with Chinese gains driven by easing liquidity concerns. Platinum prices rose to their highest level in over ten weeks as strikes in South Africa supported the metal towards $1,470 on Monday. Three month LME copper contracts posted an inside day yesterday in a sign investors were struggling with direction ahead of the release of Chinese manufacturing PMI and US unemployment data due out later this week.
20 Jan 2014 08:05
Chinese growth during the last quarter of 2013 began to show signs of losing momentum as Beijing’s attempts to promote an austerity drive and crackdown on overcapacity crimped industrial output, retail sales and GDP. Gold prices rose to a six week high on healthy physical demand which supported the yellow metal to a close above $1,250 on Friday. Concerns in Thailand continue to mount as protests against the government compound emerging market capital flight from large scale investors.
15 Jan 2014 08:02
The World Bank has raised its global growth forecast as markets around the world show signs of bouncing back this year with the recovery in developed markets in particular expected to continue. 3-month LME nickel prices built on Monday’s gains as prices pushed higher yesterday, eventually closing 0.9% higher at $14,340 after breaching resistance at the 200 day MA. Japanese stocks rose during overnight trading following the rally in US equities as the Nikkei rebounded from the previous session’s 1.5% decline, closing 2.5% on Tuesday while the TOPIX accelerated 2% higher. Wall Street recovered much of Monday’s sell-off as benchmark indices rose on better than expected retail sales with the improving outlook also supporting the dollar index above 80.8.
14 Jan 2014 08:03
Japanese equity indices fell significantly lower in overnight trading after investors, returning to the market after the long weekend, sold off holdings in response to Friday’s weaker than expected non-farm payrolls figures. Wall Street echoed the Asian session’s sentiment, closing lower as investor concerns regarding stock market valuation prompt a sell-off. Gold traded towards a one month high yesterday, building on support at the 50 day MA. The US Fed is considering taking further action to limit banks’ activities in physical commodities as pressure from congress steps up.
10 Jan 2014 08:20
A mixed session for Asian equities as investors hold out for key data releases later today with Japanese stocks managing to end the day in positive territory while mainland Chinese stock indices slip lower. Major US equity indices ended the day largely unchanged yesterday despite better than expected initial jobless claims and a marginally improved Bloomberg weekly consumer comfort index. China’s imports accelerated to their highest level since July 2013, supporting the view that domestic demand remained on track to support economic growth.
09 Jan 2014 08:46
China’s producer prices fell 1.4% in December y/y, showing its 22nd straight drop. The US dollar has continued its strong rally, with the USD index holding strong at 7-week high around 81.0 area. The Fed minutes from December’s FOMC meeting were broadly in line with expectations.
06 Jan 2014 09:00
China’s HSBC/Markit Services PMI declined to 50.9 in December from 52.5 in November, weighing on market sentiment and adding pressure to Asian equity markets. Gold has rallied for a fifth consecutive session to hit its highest level in nearly three weeks.
30 Dec 2013 09:37
Asian equity markets climbed higher on Monday, tracking gains in Wall Street. The Euro holds strongly above 1.37 area against the US dollar. Crude oil prices continue their strong upside momentum with WTI oil contract holding above $100 per barrel for a second consecutive day following a bullish EIA oil inventories report.
27 Dec 2013 08:25
Asian stocks ended the week on a positive note with Japanese equity indices rallying for a third straight session on better than expected US jobless claims and easing money market conditions in China. US equity markets extended gains, pushing to new record highs after yesterday’s release of initial jobless claims came in 7,000 lower than expected at 338K new claims for the week ending 21st December. Spot gold prices managed to recover above $1,200/oz throughout the week as prices climbed towards $1,210 but the yellow metal is still headed for a fourth consecutive monthly loss and is currently down 27.5% throughout the year.
20 Dec 2013 09:14
Chinese equity markets came under pressure on Friday with Hang Seng retreating by 76.57 points. The IMF has warned Portugal of possible tough years ahead. The UK retail stocks have been under pressure recently, following fairly disappointing pre-Christmas sales.
18 Dec 2013 08:02
US markets struggled with direction yesterday as investors remained on the side-lines ahead of the FOMC rates announcement and Bernanke’s last press conference as chairman of the US Fed. Asian markets rose in overnight trading ahead of the Fed decision today as a weaker yen supported exporters, leading to a 2.0% gain in the Nikkei while the TOPIX added 1.48% throughout the session. China’s benchmark seven day repo rate increased to its highest level in six months, reaching 6.28% on speculation that the central bank will further relax the control on borrowing costs.
17 Dec 2013 08:15
Bullish economic data releases helped Wall Street lift higher ahead of the Fed meeting due to start today. A mixed session for Asian stocks ahead of the Fed meeting with Japanese stocks pushing higher while Chinese markets drifted lower. Three month LME copper prices rallied for a seventh consecutive session yesterday as intraday prices briefly moved above $7,300/tonne, the highest level since 23rd October.
16 Dec 2013 08:12
Market participants will be firmly focused on the US Fed this week as the FOMC will meet to consider the possibility of tapering bond purchases. Asian equity markets drifted lower during overnight trading, starting off the week on the back foot as weaker than expected flash manufacturing PMI and uncertainty surrounding the upcoming Fed meeting eroded support for risk assets. A busy day for economic data will keep investors engaged as they continue to weigh up any potential positive surprises against the likelihood of tapering.
11 Dec 2013 08:43
US markets consolidated yesterday on budget concerns and tapering expectations as both the S&P 500 and DJIA closed 0.3% lower. Asian markets extended losses during overnight trading, following the European and US sessions lower as the recent budget deal shifted focus back to stimulus concerns which weighed heavy on investor sentiment. Three month LME copper prices rose for the third consecutive session yesterday, climbing above $7,150 as investors considered the recent Chinese data releases. Iron ore prices gained further support from recent encouraging data, with the TSI 62% Fe index rising to $139.40/tonne from $135.90/tonne four weeks ago.
10 Dec 2013 08:29
US equity markets extended the previous week’s gains with the S&P 500 closing at a record high, adding 0.18% throughout the day as investors continue to weigh positive economic data against the timing of tapering. Asian equities struggled with directions during overnight trading despite US investor bullishness as the lack of fresh economic releases from the US kept investors side-lined. The RICS house price index has risen to its highest level in over ten years as government schemes to boost buying coupled with supply shortages support higher prices. The Chinese yuan has pushed to a two decade high, approaching 6.0700 signalling policy makers are loosening their control on the currency with the hopes that it could ultimately lead to a free-floating exchange rate.
09 Dec 2013 08:44
Asian markets rallied significantly higher as markets continue to absorb last week’s bullish US and Chinese data. Chinese trade data released over the weekend points towards recovering export growth as global demand gradually recovers. European equity indices have opened higher this morning as the positive sentiment from the Asian session carries over into European trading.
04 Dec 2013 08:15
Japanese stocks fell sharply in overnight trading with the Nikkei posting its biggest losses in over six weeks as cautious investors took profits ahead of US data. Gold prices continue to soften as the string of positive economic data in recent weeks supports the view that the Fed will begin tapering in the coming months. Robusta coffee prices have posted their largest daily gain in two and a half years as declining inventories prompted a 4.1% rally in second month contracts yesterday.
03 Dec 2013 07:56
US markets closed lower yesterday with the S&P 500 testing support at 1,800 and the DJIA holding firm above 16,000, closing 0.27% and 0.48% lower respectively. Rio Tinto is set to cut capex by half as global commodity prices continue to face significant headwinds. Regulators will meet on 10th December to discuss the final version of the Volcker rule, according to Bloomberg. Asian markets rallied higher, with the Nikkei gaining for the fourth straight session after stimulus speculation boosted risk appetite.
02 Dec 2013 08:14
Asian markets displayed mixed performance in overnight trading despite the Chinese flash PMI figure coming in slightly higher than expected. Japanese indices were little changed with both the TOPIX and Nikkei closing flat after wild swings between gains and losses throughout the day. Commodity prices are set to soften further by year end as prices head for their first annual loss since 2008. 3-month LME aluminium prices are approaching levels last seen in 2009 as stocks in Shanghai and London increase.
28 Nov 2013 09:09
Since the US markets are closed for Thanksgiving holiday and due to lack of major macroeconomic data, we expect thin trading activity across European equity and commodity markets today. In the meantime, Asian equities continue their sharp upside momentum with Nikkei surging to a 6-year high.
26 Nov 2013 08:18
Crude oil markets have stabilised after opening sharply lower on Monday with Brent prices recovering to the levels seen during the previous week as the euphoria surrounding the Iranian nuclear deal diminishes. US equity markets have managed to hold firm near record levels after housing data comes in lower than expected. Asian equity indices struggled to build on the previous session’s gains, taking the lead from the US session and drifting lower
25 Nov 2013 08:31
Asian stocks rallied higher on a weaker yen while markets expect stronger US data will spur equities higher. Crude prices have dropped the most in three weeks after agreement over Iran’s nuclear programme was reached. Hedge funds have cut back their bullish bets on gold as the yellow metal extends losses, trading around $1,230 this morning.
21 Nov 2013 08:14
US markets pulled back slightly as details in the FOMC’s meeting minutes were largely in line with expectations. A mixed session for Asian equity indices saw Japanese markets lift higher while Chinese stocks dropped after minutes from the FOMC’s last meeting signalled that the central bank was considering cutting bond buying in the coming months. Oversupply in metals may be limited in the coming years as price declines this year prompt miners to cut back on capex.
18 Nov 2013 07:55
Chinese markets lifted higher for the third straight session, spurred by reforms and expectations of extended stimulus in the US. Stocks listed in Hong Kong also rallied higher, with the Hang Seng rallying 2.65% during overnight trading. The Federal Reserve is considering a delay in the compliance date for the Volcker regulation, giving major institutions additional time to comply with the provisions.
15 Nov 2013 08:45
US equity markets extended gains and reached record highs as comments from Janet Yellen hinted at a continuation of stimulus. Asian stocks rallied higher during overnight trading, carrying over the positive sentiment from the US session. The Federal Reserve may consider limits on bank ownership and trading of physical commodities out of concern that an event such as an oil spill could undermine financial stability.