South Korea industrial production climbs in June
By Lim Hui Jie
Just an hour ago, it was reported that South Korea’s industrial production had climbed 0.1% on a month-on-month basis in June. However, this growth is a sharp decline from the 1.3% growth seen in May. The decline is primarily due to a decrease in output from the mining and manufacturing industries compared to May. The manufacturing industry, in particular, saw a 1.1% decline.
On the other hand, the service industry and public administration sector experienced growth compared to the previous month. The service industry recorded gains of 0.5%, while the public administration sector saw an impressive 3.1% increase.
When looking at the year-on-year basis, total industrial production in South Korea rose by 1.1% in June. This is a significant improvement compared to the 0.9% fall seen in May.
Tokyo inflation rate ticks up to 3.2% in July
By Lim Hui Jie
In other news, the consumer price index in Tokyo, Japan’s capital city, rose by 3.2% year-on-year in July. This is a slight increase from the 3.1% recorded in the previous month. What’s notable is that this is the 14th consecutive month that the inflation rate in Tokyo has come in above the Bank of Japan’s 2% target.
The core inflation rate in Tokyo, which excludes prices of fresh food, came in at 3%. While this is slightly higher than the 2.9% expected by economists polled by Reuters, it is lower than June’s figure of 3.2%.
Yen strengthens after reports of Bank of Japan allowing long-term rates to go over 0.5%
By Lim Hui Jie
The Japanese yen has strengthened by 0.38% against the greenback, trading at 138.95. This comes after reports that the Bank of Japan (BOJ) is considering adjusting its yield curve control policy. According to Nikkei, the BOJ will allow long-term interest rates to rise beyond its current cap of 0.5% “by a certain degree.”
Under the yield curve control policy, the central bank targets short-term interest rates at -0.1% and the 10-year government bond yield at 0.5% above or below zero. However, the proposed change would still keep the rate ceiling intact while allowing for moderate increases beyond that level.
Goldman names China stocks set for a bounce
By Lucy Handley
Goldman Sachs has identified a number of Chinese stocks to buy after recent fiscal stimulus measures were announced by Chinese authorities. While concerns about structural growth remain, Goldman analysts believe that the policy put has been activated, signaling an opportunity for a tactical bounce in Chinese stocks.
Morgan Stanley names ‘top’ stocks to buy and short in the office space sector
By Ganesh Rao
Morgan Stanley has revealed its cautious stance on the global office space sector, citing an oversupply of office space that could last over a decade. The Wall Street bank has named three stocks to buy and three to sell in this sector, pointing to headwinds from remote working, increasing capitalization rates, and expensive refinancing challenges.
CNBC Pro identifies funds with the highest annualized returns in the last 5 years, outside of tech
By Weizhen Tan
While the market gains this year have been dominated by tech stocks, Morningstar data shows that non-tech or growth funds have also performed well over the past five years. As investors consider the future of tech stocks amid uncertainty, they may want to explore alternative options for potential returns. CNBC Pro subscribers can find more information about these high-performing funds and their top holdings.
Comcast, Alphabet among S&P 500 names reaching fresh highs
By Sarah Min, Chris Hayes
It has been reported that 42 names in the S&P 500 have reached fresh highs, with many attributing their success to strong quarterly reports. Notable names include Comcast, the parent company of CNBC, and Alphabet. Comcast owns NBCUniversal, further adding to their growth. These companies have shown impressive performance, boosting the communication services sector in the S&P 500 by over 2.9%.
June pending home sales beat expectations
By Sarah Min
Pending home sales in June have risen by 0.3%, defying expectations of a 0.5% decline. This is a positive sign after two months of consecutive drops in pending home sales. The data indicates some stability and growth in the housing market.
GDP comes in better than expected for the second quarter
By Fred Imbert, Jeff Cox
The US economy has displayed resilience in the second quarter, with a growth rate of 2.4%, exceeding the expectations of economists polled by Dow Jones. It is worth noting that this data suggests a strong economy that is not heading into a recession. The growth rate also points towards positive trends and potential opportunities for economic development.