GLOBAL MARKETS DJIA 33153.91 108.82 0.33% Nasdaq 11590.40 83.33 0.72% S&P 500 4012.32 21.27 0.53% FTSE 100 7907.72 -22.91 -0.29% Nikkei Stock 27422.79 318.47 1.17% Hang Seng 20122.91 -228.44 -1.12% Kospi 2443.64 4.55 0.19% SGX Nifty* 17647.00 56.0 0.32% *March contract USD/JPY 134.63-64 -0.03% Range 134.93 134.06 EUR/USD 1.0600-03 +0.06% Range 1.0616 1.0593 CBOT Wheat March $7.382 per bushel Spot Gold $1,824.92/oz 0.2% Nymex Crude (NY) $75.49 $1.54 US STOCKS
U.S. stocks rebounded from early losses, snapping a dayslong selloff driven by concerns about the trajectory of interest rates.
The S&P 500 climbed about 0.5%, breaking its longest losing streak this year. The Dow Jones Industrial Average rose around 0.3%. The Nasdaq Composite Index rose about 0.7% as Nvidia, one of the index's biggest constituents, surged 14%.
"We haven't seen one headline that has caused this market to rebound," said Jonathan Corpina, senior managing partner at Meridian Equity Partners. "We're still kind of in the mix of things and trying to grasp for something that's going to be a catalyst for this market."
ASIAN STOCKS
Japanese stocks were higher in early trade, led by gains in semiconductor-related stocks, despite continuing uncertainty over policy-tightening by central banks and its impact on the economy. Investors were focusing on the yen and bond yields after Japan's core consumer prices, which exclude fresh food, rose 4.2% on year in January, the fastest pace in 41 years. The Nikkei Stock Average was up 0.4% at 27212.56.
South Korea's benchmark Kospi rose 0.3% to 2446.70 in early trade, as shipping and financial stocks advanced. Foreign and retail investors were net buyers. Trading remained thin amid a lack of fresh catalysts in morning trade, after the central bank's pausing of its policy tightening with a rate-hold decision helped boost the market in the prior session. USD/KRW was 0.1% higher at 1,297.90.
Hong Kong stocks declined in morning trade, extending a broad downturn in recent weeks as an earlier rally driven by China's reopening cooled. The benchmark Hang Seng Index fell 0.9% to 20160.00. China Securities analysts said in a note that consolidation, typically inevitable in a longer-term recovery, may drag on in the near term, especially given historically muted trading ahead of several key policy-making meetings in China during March. However, the brokerage reckoned the market's overall rebound outlook likely remains intact, noting there is still substantial upside room for corporate earnings improvement and macroeconomic pickup.
Chinese shares edged lower in early trade as China-U.S. relations could remain in focus, following news that the U.S. plans to increase the number of troops deployed to Taiwan. The benchmark Shanghai Composite Index was off 0.1% at 3283.36, the Shenzhen Composite Index fell 0.2% to 2151.25 and the ChiNext Price Index slipped 0.2% to 2453.56. Developments relating to China's financial sector may be in focus, after a WSJ report that China's Xi Jinping is preparing to shake up the leadership of the country's financial system and install key associates to the PBOC. Bank stocks were mixed.
FOREX
The Japanese yen was mixed against other G-10 and Asian currencies in the morning session as traders digested BOJ Governor-nominee Kazuo Ueda's remarks earlier in the session. Ueda said he didn't think Japan's relatively high inflation would last, and that the BOJ should continue its accommodative monetary policy. There have been high hopes that Ueda will bring a "hawkish twist" to the BOJ, but his early remarks don't appear to signal this, said Matt Simpson, market analyst at City Index and FOREX.com, in an email. USD/JPY was little changed at 134.66, SGD/JPY was steady at 100.32, while AUD/JPY rose 0.2% to 91.88.
METALS
Gold prices were higher in early Asian trade, after their lowest year-to-date finish overnight. "Looking ahead, there is reason to believe that the U.S. dollar could maintain leadership in the FX space, at least for some time, creating headwinds for both the euro and precious metals," said DailyFX strategist Diego Colman in a note. Strength in the USD is likely to be supported by continued rise in the U.S. Treasury yields in response to the Fed's assertive actions in its fight to restore price stability, he added. Spot gold was 0.2% higher at $1,824.92/oz.
OIL SUMMARY
Oil prices rose in early Asian trade, extending overnight gains. Reports that Russia will cut oil exports from its western ports by 25% on month in March are helping support prices, though this has yet to be confirmed by the Russian energy ministry, CBA analyst Vivek Dhar said in a note. "While it looks possible for Europe to find alternatives to Russian oil and diesel imports, oil markets can still tighten later this year by Russian-led supply disruptions and increasing demand from China and India," he added. Front-month WTI rose 0.8% to $75.98/bbl; front-month Brent gained 0.7% to $82.81/bbl.
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(END) Dow Jones Newswires
02-23-23 2215ET
