Trade overview: current reports, trends, indices, stock prices, bonds, foreign exchange and commodities and analyst recommendations
08:00
The main stock indices in Asia are recording declines, after a negative lock on Wall Street last night. The Nikkei is down 0.5%, the Hang Seng is down 1.9%. Slight declines are recorded in China. In trading in contracts on US stock market indices, declines of up to 0.8% are recorded.
The Bank of Japan left interest rates unchanged today, in line with expectations. Today will also be published the interest rate decision in Great Britain, which was postponed a week due to the death of Queen Elizabeth. Analysts are predicting an increase of 50 points, this is the second month in a row.
Against the background of the continued rise in inflation in the US, and especially in “core inflation” which does not include food and energy prices, the Fed continues to raise interest rates aggressively. %-3.25%. This is after two days of discussions by the “Committee on Open Market Affairs” of the Fed.
At the same time as the announcement, the Fed updated its forecasts and estimates that the interest rate will reach 4.6% during the next year. The heads of the Fed also predict that interest rates will not begin to fall before 2024. The Fed also estimates that the unemployment rate will rise to 4.4% during the next year (compared to 3.7% today in the US) and that growth will amount to only 0.2% this year and a slightly higher level next year. This is compared to a previous forecast for growth of 1.7% this year.
A particularly volatile trading day on Wall Street closed last night in declines. The Dow Jones index fell 1.7%, the S&P 500 also fell 1.7% and the Nasdaq fell 1.8%.
In the bond market, the two-year US government bond yield jumped to 4.11% but then fell to 4.04%, a 15-year high (since 2007). Now the yield stands at 4.10%. The yield on the 10-year bond rose to 3.64% and then fell to 3.52% and now stands at 3.54%.
After yesterday’s jump, the dollar continues to strengthen today at a slight rate and trades around 0.982 dollars to the euro and 1.124 dollars to the pound. Against the Japanese yen, the dollar strengthens by another 0.5% and trades around 144.8 yen to the dollar.
In the crypto market, declines are recorded in the main currencies. Bitcoin is down about 2% to $18,700, and ether is shedding about 5%, and its price is $1,265. In the commodity market, slight increases are recorded in crude oil contracts. Gold traded slightly down to a price of $1,668 per ounce.