🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

GLOBAL MARKETS-Asian shares dip amid caution on global growth, US earnings

Published 12/04/2019, 04:33 pm
Updated 12/04/2019, 04:40 pm
© Reuters.  GLOBAL MARKETS-Asian shares dip amid caution on global growth, US earnings
EUR/USD
-
USD/JPY
-
UK100
-
XAU/USD
-
US500
-
DJI
-
AXJO
-
JP225
-
DE30
-
DX
-
GC
-
LCO
-
UK100
-
CL
-
EU50
-
IXIC
-
US10YT=X
-
MIAPJ0000PUS
-
CSI300
-
DXY
-

* MSCI Asia ex-Japan -0.1 pct

* European shares expected to edge higher

* Volumes seen low ahead of U.S. 1Q earnings season

* Euro jumps on Japanese demand

* Asian stock markets: https://tmsnrt.rs/2zpUAr4

By Andrew Galbraith

SHANGHAI, April 12 (Reuters) - Asian shares weakened on Friday as trepidation ahead of the start of the U.S. corporate earnings season and underlying anxiety over the global growth outlook eclipsed some reassuring U.S. economic data.

Shares in Europe are expected to open fractionally higher, with pan-region Euro Stoxx 50 futures STXEc1 up 0.03 percent at 3,366 in early European trades. German DAX futures FDXc1 were 0.02 percent lower at 11,971.5 and FTSE futures FFIc1 were up 0.2 percent at 7,377.

MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS was down 0.1 percent, having earlier see-sawed within a tight range.

Despite broad weakness in the region, with Chinese blue-chips .CSI300 down 0.4 percent ahead of the release of March trade data, higher Chinese iron ore prices helped to push Australia's S&P/ASX 200 index .AXJO up 0.85 percent.

Japan's Nikkei stock index .N225 gained 0.7 percent.

Michael McCarthy, chief market strategist at CMC Markets and Stockbroking in Sydney, said markets were in a "holding pattern" as they awaited Chinese trade data and the U.S. earnings season.

Matt Simpson, senior market analyst at GAIN Capital in Singapore, said a dovish shift by central banks, together with possible progress on a U.S.-China trade deal and U.S. President Donald Trump's talking up of the markets could help to support equities in the coming weeks.

"Consumer discretionary and information technology are more than outperforming the S&P 500 rebound, and that generally is what you see in the start of an upswing, not near the end of a cycle," he said.

The tepid performance of Asian markets Friday followed a choppy session on Wall Street that left major indexes treading water, hemmed in by anxiety ahead of corporate earnings and worries about a global economic slowdown, which capped gains stemming from upbeat U.S. economic data.

The Dow Jones Industrial Average .DJI fell 0.05 percent to 26,143.05, the S&P 500 .SPX closed flat at 2,888.32 and the Nasdaq Composite .IXIC dropped 0.21 percent to 7,947.36.

Tempering expectations for a sharp slowdown in U.S. growth was data that showed the number of Americans filing applications for unemployment benefits dropped to a 49-1/2-year low last week from Federal Reserve Vice Chairman Richard Clarida that the U.S. economy is in a "good place" but re-emphasising the Fed's patience on rate hikes, also helped to reassure investors. of the big takeaways from the past few days has been the broad decline in volatility across markets," National Australia Bank (NAB) analysts said in a morning note.

NAB attributed the muted reaction to recent events to dovish policy shifts by central banks, signs that China's stimulus measures are having an effect, continued U.S.-China trade talks and the Brexit delay.

Christine Lagarde, International Monetary Fund managing director, said on Thursday that the six-month delay of Britain's exit from the European Union avoids the "terrible outcome" of a "no-deal" Brexit, but does nothing to lift uncertainty over the final outcome. threats to the global economy, IMF Deputy Managing Director Mitsuhiro Furusawa warned that a bigger-than-expected slowdown in China's economy remains a key risk. Treasury yields inched lower amid the cautious retreat in shares, after earlier rising on the U.S. jobless claims data, stronger producer prices and a weak 30-year bond auction. Friday, the yield on benchmark 10-year Treasury notes US10YT=RR fell to 2.4969 percent compared with its U.S. close of 2.504 percent on Thursday.

In currency markets, the dollar was up 0.13 percent against the yen at 111.79 JPY= , but a strong gain in the euro EUR= , which jumped 0.32 percent on the day to buy $1.1286, pushed the dollar index .DXY down 0.17 percent to 97.011.

Traders said demand for the euro jumped on speculation of increased demand for it from a Japanese bank's plans to buy a multi-billion dollar aviation finance business from a German bank. crude CLc1 ticked up 0.42 percent at $63.85 a barrel, while Brent crude LCOc1 was up 0.37 percent at $71.09 per barrel.

Gold crept higher after falling more than 1 percent on Thursday to break below the key $1,300 level following solid U.S. data. Spot gold XAU= traded at $1,293.24 per ounce. GOL/

<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ Falling volatility

https://tmsnrt.rs/2X40O8U

^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.