Monday 13th January 2025: Asia-Pacific Markets Slip Amid Fed Concerns and China’s Economic Updates

Global Markets:

•  Asian Stock Markets : Nikkei down 1.04%, Shanghai Composite down 0.44%, Hang Seng down 1.17% ASX down 1.24%
• Commodities : Gold at $2712.35 (-0.16%), Silver at $31.14 (-0.48%), Brent Oil at $81.29 (1.89%), WTI Oil at $77.36 (1.71%)
• Rates : US 10-year yield at 4.763, UK 10-year yield at 4.835, Germany 10-year yield at 2.5675

News & Data:

• (CAD) Employment Change  90.9K vs 24.9K expected
• (CAD) Unemployment Rate  6.7% vs 6.9% expected
• (USD) Non-Farm Employment Change  256K vs 164K expected
• (USD) Unemployment Rate  4.1% vs 4.2% expected

Markets Update:

Asia-Pacific markets traded lower Monday as a strong U.S. jobs report dampened hopes for early Federal Reserve rate cuts. Meanwhile, China’s December trade data surpassed expectations, with exports growing 10.7% year-on-year versus a forecasted 7.3%, and imports rising 1% against an anticipated 1.5% decline. However, China’s CSI 300 index fell 0.5%, hitting its lowest point since September 2024, as investors monitored the central bank’s suspension of government bond purchases.

China’s 10-year bond yield hit a record low, while the onshore yuan dropped to a 16-month low. Hong Kong’s Hang Seng Index slid 1.18%, falling below 19,000, its lowest since last September.

India’s markets also declined, with the Nifty 50 and BSE Sensex down 0.53% and 0.4%, respectively, ahead of the day’s inflation data. South Korea’s Kospi dropped 1.04%, and the Kosdaq fell 1.26%, while Australia’s S&P/ASX 200 lost 1.23%. Japan’s markets were closed for a holiday.

This week, key updates include the Bank of Korea’s meeting and Australia’s unemployment data on Thursday, followed by China’s Q4 GDP, retail sales, and industrial output on Friday.

In the U.S., stocks tumbled Friday after December payrolls increased by 256,000, beating expectations of 155,000. The Dow dropped 696.75 points, or 1.63%, while the S&P 500 and Nasdaq Composite fell 1.54% and 1.63%, respectively. The unemployment rate unexpectedly dropped to 4.1%, pushing 10-year Treasury yields to their highest since 2023 and placing major indices in the red for 2025.

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The post Monday 13th January 2025: Asia-Pacific Markets Slip Amid Fed Concerns and China’s Economic Updates first appeared on IC Markets | Official Blog.