In Asian Equity Markets indices were mixed on Tuesday. In Australia, the benchmark ASX 200 declined 0.79 percent with most sectors falling. The energy sector was down 1.20 percent, materials was lower by 1.22 percent and the heavily weighted financials sub-index fell 0.96 percent. In Japan, the Nikkei 225 fell 0.18 percent in early trade while the Topix index declined 0.39 percent. In South Korea, the Kospi beat the downward trend to rise 0.3 percent. Hong Kong’s Hang Seng index traded 0.17 percent up.
In Currency Markets the US dollar slipped against the yen and a basket of major peers on Tuesday after U.S. President Donald Trump said he was “not thrilled” with Federal Reserve Chairman Jerome Powell for raising interest rates. The yen rose 0.18 percent to 109.87 yen. The dollar on Tuesday fell below the psychologically-significant 110 yen level for the first time since June 28. The offshore Chinese yuan was 0.16 percent stronger at 6.8262 per dollar. The Australian dollar was 0.14 percent higher at $$0.7350.
In Commodities Markets oil prices edged up on Tuesday, supported by expectations of supply cuts once U.S. sanctions against Iran bite in November, but capped by worries a Sino-U.S. trade dispute will drag on fuel demand growth. Brent crude oil futures were at $72.24 per barrel, up 3 cents from their last close. U.S. West Texas Intermediate (WTI) crude futures were up 24 cents, or 0.4 percent, at $66.67 per barrel. Traders said prices were lifted by expectations of a drop in supply once U.S. sanctions against major oil exporter Iran take effect from November.
In US Equity Markets the major indexes rose on Monday as optimism over talks between the United States and China provided a boost to trade-sensitive stocks in the industrial, energy and materials sectors. The S&P 500 gained 0.24 percent, to 2,857.05 and the Nasdaq Composite added 0.06 percent, to 7,821.01. Nike rose as much as 2.8 percent to a record high after two brokerages raised their ratings on the stock. Intel fell 1.6 percent after brokerage Cowen & Co said the chip-maker’s new security bugs were potentially a big deal for public clouds.
In Bond Markets U.S. Treasury yields fell to six-week lows on Monday as investors waited on minutes from the Federal Reserve’s August meeting on Wednesday and a speech by Fed Chairman Jerome Powell on Friday. Atlanta Fed President Raphael Bostic on Monday said that he is still expecting three interest rate increases this year. Benchmark 10-year notes gained 14/32 in price on Monday to yield 2.824 percent, the lowest since July 6 and down from 2.873 percent on Friday. The yield curve between 2-year and 10-year notes flattened to 23 basis points, the flattest level since 2007.