In Asian Equity Markets among mainland Chinese stocks, the Shanghai composite was flat in early trade, while the Shenzhen composite jumped 1%. Hong Kong’s Hang Seng index was nearly flat. Australia’s S&P/ASX 200 was down 0.35% in the morning. Japan’s markets reopened after a holiday on Tuesday, with the Nikkei 225 rising 0.11%. Softbank shares tumbled 2.56%, as the Japanese tech giant prepared to take over the embattled WeWork. South Korea’s Kospi was down 0.19%.
In Currency Markets the pound edged lower on Wednesday after an overnight fall as Brexit hung in the balance, with the British Parliament still divided on how, when or even if to engineer Britain’s departure from the European Union. The yen rose against the U.S. dollar and the Australian dollar as some investors sought a safe haven amid doubts about Brexit and efforts to de-escalate a bruising trade war between the United States and China. The pound fell 0.16% to $1.2856 after a 0.7% decline on Tuesday.
In Commodities Markets oil fell on Wednesday after gaining over 1% in the previous session as U.S. industry data showed a bigger-than-expected build in crude stockpiles, but the possibility of deeper output cuts from OPEC and its allies contained the decline. Brent crude futures fell 31 cents, or 0.52%, to $59.39 a barrel by 0405 GMT on Wednesday. West Texas Intermediate (WTI) crude futures for December delivery, the new front-month contract, fell 43 cents, or 0.79%, to $54.05 per barrel. The November contract expired on Tuesday at $54.16.
In US Equity Markets stocks ended lower on Tuesday, giving up early gains after British lawmakers rejected the government’s proposed timetable for passing legislation to ratify its deal to exit the European Union. The S&P 500 lost 0.36%, to 2,995.99 and the Nasdaq Composite fell 0.72%, to 8,104.30. Hasbro Inc shares fell 16.8% as the toymaker’s profits, which have been pinched by U.S. tariffs on Chinese imports, came in well below Wall Street estimates. In aftermarket trading, Texas Instruments Inc fell 9% after missing earnings estimates.
In Bond Markets U.S. Treasury yields fell on Tuesday, in line with sterling’s movements, as investors bought safe-haven debt after UK lawmakers voted against Prime Minister Boris Johnson’s extremely tight timetable to approve his deal for Britain to exit the European Union. German Bund, UK 10-year Gilt yields, and sterling fell on the day, their weakness spilling over to the Treasury market.