Market briefing – Market Evaluation & Financial News.[July 17, 2023]

Good morning everyone and thank you for choosing“Market briefing-Analysis of today's financial news”. Every day, our goal is to provide you witha thorough and knowledgeable analysis of the most relevant financial news, to help younavigate the complex economic landscape. Let's begin our daily review. financial news [June 17, 2023] Stocks in Asia faced declines today as weakdata from China raised concerns about the country's economic recovery. Additionally, the prospect of continued monetarytightening by the Federal Reserve weighed.

On investor sentiment. Mainland China's shares were hit the hardestas data revealed that the country's second-quarter growth fell short of estimates. Economists surveyed by Bloomberg had predicteda growth rate of 7.1%, but the actual figure came in at 6.3%. The disappointing numbers led to a weakeningof the onshore and offshore yuan. Despite market calls for more stimulus, thePeople's Bank of China kept its medium-term lending facility unchanged, causing furtherunease among investors. Fiona Lim, a senior FX strategist at MalayanBanking Bhd in Singapore, attributed the fall.

In the yuan to “evidence of a broad slowdownin the Chinese economy.” She also mentioned the possibility of someconsolidation in the currency due to a more favorable environment with Treasuries andthe U.S. dollar. South Korea's shares also saw a decline, whileAustralian shares remained steady. Japanese markets were closed for a holiday,and morning trading in Hong Kong was canceled due to a storm. Looking at the U.S. markets, contracts forthe S&P 500 and Nasdaq 100 were lower in Asia. The rally in U.S. stocks hit a roadblock onFriday after a report showed that consumer sentiment had reached an almost two-year high.

This reinforced the view that the FederalReserve still has a long way to go in its efforts to bring down inflation. In the currency markets, the U.S. dollar showedlittle change on Monday after snapping a five-day losing streak on Friday. Some strategists and investors suggest thatthe dollar's long bull run may be over. The yen, on the other hand, edged higher followingcomments by Bank of Japan Governor Kazuo Ueda, who expressed uncertainty about the U.S. andglobal economies. Yields on Australia's three-year notes stabilized,while those on 10-year bonds saw a slight increase.

The Australian dollar, which is sensitiveto China's economic outlook, weakened. In other news, trading of cash Treasurieswas suspended in Asia due to the holiday in Japan. The two-year Treasury yield rose by 14 basispoints on Friday after the consumer sentiment report, contrasting the preceding days' declinein yields. JPMorgan Chase & Co. strategists cautionedagainst prematurely declaring victory on inflation and expected elevated volatility in the nearterm. Federal Reserve Governor Christopher Wallerstated last week that he expected two more rate increases this year to bring inflationdown to the 2% target.

However, if more positive data on prices emerges,the need for the second rate hike could be obviated. Swaps pricing indicates that the market virtuallyexpects the Fed to raise its benchmark rate by another 25 basis points in the upcomingmeeting, with a roughly one-third chance of another hike before ending its cycle. Oil prices extended their decline as China'sdisappointing growth figures and the resumption of major Libyan oil field output impactedthe market. Gold remained relatively stable. Investors are starting the week with cautionas they search for the next catalyst.

The U.S. Dollar Index, which tracks the performanceof the dollar against a basket of major currencies, fluctuates below 100.00. European Central Bank policymakers, includingPresident Christine Lagarde, are scheduled to deliver speeches during the European tradinghours. The U.S. economic docket features only theFederal Reserve Bank of New York's Empire State Manufacturing Index. In early Asian trading, China released datashowing that its real Gross Domestic Product grew at an annual rate of 6.3% in the secondquarter. While this marks an improvement compared tothe 4.5% growth in the first quarter, it fell.

Short of the market's expectations of 7.3%. Other data from China revealed a sharp decreasein retail sales, which grew by 3.1% on a yearly basis in June, compared to 12.7% in May. Industrial production expanded by 4.4% inthe same period. China's National Bureau of Statistics acknowledgedthe improvement in the economy but also noted that the foundation of the domestic economicrecovery is not solid. As a result, the Shanghai Composite Indexfell nearly 1%, and U.S. stock index futures traded modestly lower. In the currency markets, the Australian dollarcame under renewed selling pressure due to.

The mixed Chinese data. The Reserve Bank of Australia is set to releasethe minutes of its July 4 policy meeting early Tuesday. EUR/USD experienced its biggest weekly gainof the year, adding nearly 250 pips last week. The pair is holding steady above 1.1200 duringthe European morning. GBP/USD edged lower on Friday but closed theweek significantly higher. The pair is currently in a consolidation phasebelow 1.3100. USD/JPY rebounded after a six-day losing streakbut is struggling to extend its recovery, trading within a tight range around 138.50.

Gold benefited from the retreat in U.S. yieldslast week, resulting in a gain of 1.5%. Currently, XAU/USD is relatively stable around$1,950. Bitcoin remained in a sideways movement slightlyabove $30,000 over the weekend, lacking a decisive move at the start of the week. Ethereum also experienced a slight declineover the weekend but managed to stabilize above $1,900 on Monday. Before we continue with our analysis, we'dlike to remind you of your support for our channel “Market briefing-Analysis of today'sfinancial news”. If you're enjoying this video and find ourcontent useful and engaging, please consider.

Giving it a thumbs up and subscribing to ourchannel. This helps us grow and bring you even morequality content. Now, let's get back to the financial marketnews and the latest updates. Key events this week:G-20 finance ministers and central bankers are meeting in India, MondayEuropean Central Bank President Christine Lagarde speaks, MondayUS empire manufacturing, Monday US retail sales, industrial production, businessinventories, cross-border investment, Tuesday Eurozone, UK CPI, WednesdayUS housing starts, Wednesday China loan prime rates, ThursdayUS initial jobless claims, existing home sales,.

Conf. Board leading index, ThursdayJapan CPI, Friday Some of the main moves in markets:Stocks S&P 500 futures were little changed as of12:21 p.m. Tokyo time. The S&P 500 fell 0.1% FridayNasdaq 100 futures were little changed. The Nasdaq 100 was little changed FridaySouth Korea’s Kospi Index fell 0.3% China’s Shanghai Composite Index fell 1.1%Australia’s S&P/ASX 200 Index was little changedCurrencies The Bloomberg Dollar Spot Index was littlechanged.

The euro was unchanged at $1.1228The Japanese yen rose 0.1% to 138.63 per dollar The offshore yuan fell 0.2% to 7.1703 perdollar The Australian dollar fell 0.3% to $0.6815Cryptocurrencies Bitcoin was little changed at $30,291.85Ether was little changed at $1,928.4 BondsAustralia’s 10-year yield declined two basis points to 3.98%Commodities West Texas Intermediate crude fell 0.9% to$74.77 a barrel Spot gold fell 0.1% to $1,952.78 an ounce In conclusion, we'd like to thank you forwatching “Market briefing-Analysis of today's.

Financial news”. If you enjoyed our insights and found theinformation helpful, please consider leaving a like and subscribing to our channel to stayupdated with future analyses. Thank you again for your support, and we'llsee you soon with more news! Remember, the information in this video ispurely informational and does not constitute investment advice. Always consult with a professional beforemaking financial decisions.

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