Markets Today

BNZ Markets Today

Doug Steel -

Equities lurch lower again, denting risk appetite. The US dollar has pushed higher across the board, arresting its slide over the past week. Meanwhile, the plunge in oil prices continues. Little change in yields.

BNZ Markets Today

Brendan Marsh -

The week ahead holds little in store in terms of key data releases or central bank meetings and includes the US out later in the week for Thanksgiving, however, there’s still been a couple of pressure points albeit from familiar sources for markets to respond to at the start of an abbreviated week.

BNZ Markets Today

Jason Wong -

The USD and US Treasury yields fell after comments from Fed Chair Clarida were interpreted as dovish. That helped the NZD to continue to power on up, and supported at the end of the week by further optimism on US-China trade talks after some positive comments by President Trump.

BNZ Markets Today

Jason Wong -

Brexit has been the key focus for the market and it’s not looking good for the UK, with GBP trashed again and UK gilt yields plunging, dragging down US Treasury yields. After a bad start, US equities are now back to square. The NZD continues to perform well, making further gains overnight.

BNZ Markets Today

Doug Steel -

Relatively calm trading conditions prevailed for most of the night, with generally limited market moves, before negative Brexit headlines late in the session saw a risk off tone take hold. Equity markets oscillated around flat before pressing lower, likewise US yields. Oil prices have recovered a small amount of recent heavy losses. The US dollar sits around 0.2% lower on the indices we track.

BNZ Markets Today

Jason Wong -

More optimism on US-China trade talks and a Brexit deal have supported risk currencies like the NZD, while GBP has been the top performer. US equities are stronger, while US Treasury yields haven’t responded to the better risk backdrop.

BNZ Markets Today

Nick Smyth -

It’s Veteran’s day holiday in the US, but US equity markets have remained under downward pressure to start the week, especially the tech sector. Brexit remains in focus too. Speculation of more UK cabinet resignations is increasing concern that Theresa May won’t be able to pass a Brexit deal through parliament, and this has weighed again on the GBP and EUR. On the flip side, the USD has extended its recent gains, with the various USD indices making fresh 18 month highs. The NZD has held up reasonably well, and is down only marginally against the USD overnight.

BNZ Markets Today

Nick Smyth -

Equities ended last week on a soft note, led by the tech sector. Amidst a backdrop of more cautious risk sentiment, US Treasury yields declined and the US dollar rose – the DXY is almost back to 18-month highs. Locally, NZ rates rose again on Friday, although there were some signs of receiving interest finally emerging after a very volatile week.

BNZ Markets Today

Jason Wong -

Financial markets have been quiet ahead of the FOMC statement due 8am NZ time. Overnight currency moves have been insignificant, US equities are flat and US Treasury rates are little changed.

BNZ Markets Today

Jason Wong -

The USD is modestly softer across the board after the in-line result of the US mid-term elections, US Treasury yields are down slightly, driven by the long end, and US equities are stronger. The NZD has been the star performer following the surprising strength in labour market data yesterday.

BNZ Market Today

Jason Wong -

Markets are treading water ahead of today’s US mid-term elections with volumes well below normal. GBP has shown another modest gain to make it the strongest currency over the past 24 hours on a day where nothing much has happened. US equities and Treasury rates are slightly higher.

BNZ Markets Today

Jason Wong -

It has been an uneventful start to the week for financial markets ahead of a busy week, which includes the US mid-term elections and policy meetings by the Fed, RBA and RBNZ. Currency movements have been small apart from GBP which has swung around on Brexit headlines. After recent volatility in equity markets, overnight movements have been insignificant by comparison. US rates are slightly lower after last week’s big sell-off in Treasuries.

BNZ Markets Today

Nick Smyth -

A stronger than expected US non-farm payrolls report led to a sharp rise in US Treasury yields and an appreciation in the USD against G10 currencies. Emerging market currencies and equities performed strongly on reports that President Trump had instructed his staff to draft an outline for a possible trade deal with China, although White House advisor Kudlow later tried to cool expectations. Higher US bond yields weighed on US equities, which had initially risen on optimism for a US-China trade deal.

BNZ Markets Today

Nick Smyth -

After making fresh highs yesterday, the USD has moved sharply lower across the board over the past 24 hours. The NZD is the best performing currency in the G10, up more than 2%. Meanwhile, equities have moved higher again, helped by some more positive comments by President Trump on China.

BNZ Markets Today

Nick Smyth -

After what has been a terrible month for global equities, markets ended October in risk-on mode. US and European equity markets have risen strongly and US Treasury yields have moved higher. The USD has continued to push higher, helped by better than expected US data.

BNZ Markets Today

Nick Smyth -

US equities have moved modestly higher overnight, although the market remains volatile and risk sentiment cautious. Facebook’s earnings later this morning will be a key focus. The NZD and AUD have moved higher over the past 24 hours after President Trump discussed the possibility of a “great deal” with China.

BNZ Markets Today

Nick Smyth -

US equities have staged something of a recovery overnight, although the tech sector has again lagged. The more positive tone to risk assets has helped Treasury yields push a little higher and the JPY underperform. The NZD is little changed against the USD from Friday night’s close, although it has made gains on all the crosses.

BNZ Markets Today

Jason Wong -

US equities had another rough day, sending US Treasury rates lower, while JPY was the strongest of the majors in the risk-off environment. The NZD saw a couple of forces on Friday, with the net result being little change after a temporary shunt downwards.

BNZ Markets Today

Jason Wong -

US equities have recovered strongly after yesterday’s rout, putting some modest upward pressure on US Treasury yields, while the USD remains well bid. The NZD has remained tightly range-bound.

BNZ Markets Today

Jason Wong -

US equities continue to fall, putting downward pressure on global rates. A hawkish Bank of Canada saw a stronger CAD, but otherwise the USD is generally stronger, seeing the NZD weaken a little.

BNZ Markets Today

Jason Wong -

On a day with little news, global equities have slumped again and US Treasury yields have followed the move lower. Interestingly, currency market movements have been modest, with the risk off mood seeing JPY modestly bid while the NZD range trades.

BNZ Markets Today

Jaso Wong -

The new week has begun with weaker risk sentiment prevailing, with commodity currencies underperforming and US equities in negative territory.

BNZ Markets Today

Jason Wong -

A risk-off mood has prevailed overnight. Against that backdrop JPY is outperforming while the NZD continues to remain uncorrelated with risk appetite, as we’ve seen during the recent equity market sell-off, and has remained poised. US and German 10-year rates are lower.

BNZ Markets Today

Jason Wong -

Against a backdrop of a stronger USD the NZD is slightly weaker this morning. Against a backdrop of lower European rates, US Treasuries are fairly flat.

BNZ Markets Today

Jasono Wong -

The NZD has sustained the gains made after stronger-than-expected CPI data yesterday and heads the daily leaderboard. US and European equity markets show strong gains, while a lack of pulse is evident in bond markets, with UST yields little changed.

BNZ Markets Today

Jason Wong -

US equities have opened the new trading week on a calmer note, although it’s too early to declare that the period of heightened volatility is over. UST yields are trading a very tight range, while the USD has weakened across the board and the NZD has been the strongest of the majors.

BNZ Markets Today

Jason Wong -

Friday night saw another choppy trading session on Wall Street and the net result was a decent rally. Volatility in other asset classes remained subdued, with only modest changes in currencies and little change in US Treasuries.

BNZ Markets Today

Jason Wong -

Following yesterday’s rout in global equities a risk-off tone remains evident, with the S&P500 making further losses overnight, while US 10-year Treasury yields are flat to
down slightly. Despite the fall in risk appetite, the NZD has ended up one of the better performers as short-positions were likely pared.

BNZ Markets Today

Jason Wong -

US and European equity markets have fallen significantly, against a backdrop of little news. Movements in currency and bond markets have been well contained, with the NZD tracking sideways and the US 10-year rate up 2bps.

BNZ Markets Today

Jason Wong -

Market movements have been modest, with small changes in currencies, flat equity markets and the US 10-year rate nudging lower.

BNZ Markets Today

Jason Wong -

The new week has begun as last week ended, with risk sentiment souring, albeit with holidays across the US, Canada and Japan helping contain market volatility. Under the circumstances the NZD and AUD have held up well, but this follows the significant falls for both currencies last week.

BNZ Markets Today

Jason Wong -

The NZD and AUD continued to probe fresh multi-year lows, following the US employment report which showed a tightening labour market. The report also saw the US 10-year Treasury rate rise to a fresh 7-year high.

BNZ Markets Today

Nick Smyth -

AU: Trade balance, Aug: $1600m vs. $1450m exp.
US: Jobless claims, Sep 29: 207k vs. 215k exp.
US: Factory orders (m/m%), Aug: 2.3 vs. 2.1 exp.
US: Durable goods orders (m/m%), Aug (final): 4.4 vs. 4.5
exp.
After a large move higher on Thursday, US Treasury yields
have stabilized somewhat overnight. Global bond yields
have continued to rise, although NZ rates continue to lag
the moves elsewhere. US equities have come under
pressure overnight, alongside emerging markets, from the
rise in yields. Meanwhile, the NZD fell to its lowest level
since March 2016.

BNZ Markets Today

Nick Smyth -

The 10 year US Treasury yield moved to its highest level since 2011 after an extremely strong non-manufacturing ISM survey and an upside surprise to the ADP employment report. Expectations are now for a very strong payrolls report on Friday. The USD is stronger across the board on the back of the US data, and this has pushed the NZD back down towards 0.6535.

BNZ Markets Today

Nick Smyth -

Risk appetite has been supported by news the US and Canada have come to a last minute deal on a revised NAFTA agreement. The S&P500 has moved close to a record high, although Treasury yields have been little moved. The NZD is again little changed, with all eyes on the QSBO released later this morning.

BNZ Markets Today

Nick Smyth -

Italy is back in the headlines after the populist coalition government announced it was targeting a 2.4% fiscal deficit, setting itself on a collision course with the EU. Italian bond yields moved sharply higher, while European equities and the euro fell. The bout of risk aversion was reasonably contained to Europe though, with little contagion to US equities or US Treasury bonds, both of which were unchanged on the day; the NZD was also unchanged on Friday. Over the weekend, the US and Canada were engaged in last minute talks over a revised NAFTA deal, with the self-imposed deadline being midnight, 30th September.

BNZ Markets Today

Jason Wong -

The USD is stronger across the board which sees the NZD down to its lowest level this week around 0.6620, but steady on most of the crosses. US 10-year rates are steady at 3.05%.

BNZ Markets Today

Jason Wong -

Financial markets were typically quiet heading into the FOMC policy announcement this morning. The Statement and the Fed’s projections were in line with expectations, limiting any market reaction. For the day, US Treasury rates are slightly lower, while the USD is flat.

BNZ Markets Today

Jason Wong -

Markets are treading water ahead of the FOMC’s policy announcement less than 24 hours away now. Market movements have been insignificant but US 10-year Treasuries have nudged up to fresh highs.

BNZ Markets Today

Jason Wong -

It has been a fairly sleepy start to the week, with the NZD and AUD on a slightly softer note, not helped by lingering US-China trade war concerns, while GBP has recovered some of its big loss on Friday. Global rates are higher, with the market perceiving ECB Chair Draghi’s comments as more hawkish.

BNZ Markets Today

Jason Wong -

It was an uneventful end to the week, with flat US equities and Treasury yields and only modest changes in the major currencies, apart from GBP which showed a chunky fall on Brexit worries.

BNZ Markets Today

Jason Wong -

Positive risk sentiment sees JPY and USD under pressure, while the NZD has made further gains overnight, adding to the move after stronger than expected GDP figures. US Treasury rates have consolidated around recent highs.

BNZ Markets Today

Jason Wong -

Against a backdrop of improved sentiment for emerging market currencies, the NZD and AUD continue to show signs of recovery, with both reaching their highest levels for the month. These moves come despite US rates tracking higher.

BNZ Markets Today

Nick Smyth -

Yesterday’s official announcement that the US would impose tariffs on $200b Chinese imports has been largely shrugged off by markets. US and Chinese equities have risen while the 10 year US Treasury yield broke above 3%, to its highest level since May. The NZD and AUD have outperformed against a risk-on backdrop.

BNZ Markets Today

Nick Smyth -

The week has started off with a slightly risk-off tone, with Chinese and US equities falling (the latter led by the tech sector). So far, the market appears to have put more weight on the likely cancellation of US-China trade talks than the lower 10% tariff rate that the WSJ reported Trump had opted for. Trump said an announcement on Chinese tariffs would come later this morning, after the market close. The USD reversed its gains from Friday and is trading towards the lower end of its recent trading range.

BNZ Markets Today

Nick Smyth -

On Friday, the US 10 year Treasury yield hit 3% for the first time since the start of August after another round of robust US economic data. The USD was stronger on the day, but remains contained within a broader range. Over the weekend the WSJ reported that President Trump would announce tariffs of 10%, lower than the originally planned 25%, on $200b of Chinese imports, likely either today or tomorrow. It’s possible that risk assets could bounce on the news of a lower tariff rate.

BNZ Markets Today

Nick Smyth -

US equities rose and US Treasury yields fell modestly after a lower than expected US core CPI release. The USD weakened after the CPI data too, although the NZD is not
much higher than this time yesterday. There was little new information from both the ECB and BoE meetings, but the Turkish central bank raised its one week repo rate by a whopping 625bps, which has helped support EM currencies.

BNZ Markets Today

Nick Smyth -

Press reports that US Treasury Secretary Steve Mnuchin had invited China to attend trade talks have given a sharp lift to the NZD and AUD. There wasn’t much reaction in
either equity or bond markets to the trade news though. US yields have drifted lower ahead of tonight’s US CPI release.

BNZ Markets Today

Nick Smyth -

US Treasury yields moved higher overnight, with the 10 year rate closing in on 3%. Second-tier US economic data remained robust and supportive of continued Fed tightening while US equities increased, boosting risk appetite. The NZD made a new low against the USD and sits just above 0.65.

BNZ Markets Today

Nicky Smyth -

The NZD and AUD fell sharply on Friday after a double whammy of stronger than expected US wage growth and President Trump’s latest threat that he could impose tariffs on all Chinese imports. There was no announcement on the $200b Chinese imports, although Trump said it could happen “very soon”. US Treasury yields moved sharply higher after the wage data, with the market pushing up Fed tightening expectations.

BNZ Markets Today

Jason Wong -

A risk-off mood has prevailed overnight, although market movements have been modest, as we await a possible announcement by President Trump of further tariffs and ahead of the key US employment report tonight. The NZD sits around 0.66 and UST rates are lower, with comments by the Fed’s vice chair Williams interpreted as dovish.

BNZ Markets Today

Jason Wong -

Market movements have been modest, but the NZD heads the leaderboard with broadly based gains, recovering after reaching a fresh low during local trading. US Treasury yields are unchanged.

BNZ Markets Today

Jason Wong -

USD strength across the board has seen the NZD and AUD reach fresh multi-year lows, alongside further weakness in emerging market currencies. Strong US ISM data has supported higher US Treasury rates

BNZ Markets Today

Jason Wong -

Markets are quiet with the US on holiday. NZD is hovering around the 0.66 mark while GBP is the weakest of the majors on various Brexit headlines.

BNZ Markets Today

Jason Wong -

Angst about trade deals dominated Friday trading, seeing safe-haven currencies and the USD outperform, while the AUD hit a fresh low. US equities and the 10-year Treasury
rate were little changed ahead of the long US weekend.

BNZ Markets Today

Jason Wong -

Weaker NZ business confidence data and another bout of emerging market currency weakness sees the NZD the weakest of the majors, with AUD and CAD underperforming as well. Global yields are lower, supported by a mild risk-off tone and softer German
inflation data.

BNZ Markets Today

Nick Smyth -

US equities moved higher again amid low volatility and positive underlying risk appetite sentiment. In currencies, the GBP strengthened after EU chief negotiator Michel Barnier said the EU was prepared to offer a special deal to the UK, although with the usual caveats. The AUD is the weakest currency over the past 24 hours after Westpac’s out-of-cycle mortgage rate hike.

BNZ Markets Today

Nick Smyth -

Market moves were reasonably modest overnight, although there is a lingering risk-on tone from yesterday’s tentative trade agreement between the US and Mexico. The USD was mixed, but the NZD has moved up towards resistance around 0.6725.

BNZ Markets Today

Nick Smyth -

The S&P500 and NASDAQ set new highs overnight after the US and Mexico said they had reached a trade understanding for a deal to replace NAFTA. The US dollar continued where it left off on Friday, weakening across the board overnight, while US Treasury yields were modestly higher. The NZD is up only slightly from Friday’s close.

BNZ Markets Today

Nick Smyth -

The S&P500 made a new record high on Friday and the US dollar fell across the board after Fed Chair Powell said there was no clear sign of inflation accelerating above 2%,
nor the economy overheating. While Powell said further gradual rate rises remained appropriate (i.e. Fed will likely hike another two times this year) Fed policy is likely to be
more data-dependent in 2019. Meanwhile, the CNY rose sharply after the PBOC reintroduced the counter-cyclical factor for the CNY fix, a tool for dampening volatility in the currency. The market’s dovish take on Powell’s speech and the CNY appreciation have boosted the NZD back to near 0.67.