Asia-Pacific markets close mostly higher
Asia-Pacific markets mostly ended higher Monday.
Hong Kong’s Hang Seng Index rose 0.92% to close at 24,732.55, while mainland China’s CSI 300 index increased by 0.39% to 4,070.70.
Japan’s Nikkei 225 benchmark ended the day 1.25% lower at 40,290.70, while the broader Topix index fell 1.10% to 2,916.20.
Meanwhile, South Korea’s Kospi index advanced 0.91% to close at 3147.75, while the small-cap Kosdaq rose 1.46% to 784.06.
Australia’s S&P/ASX 200 benchmark ended the day flat at 8,663.70.
Over in India, the 50-stock benchmark Nifty 50 was up 0.49%, while the BSE Sensex index added 0.42% as of 1.40 p.m. Indian Standard Time (4.10 a.m. ET).
— Amala Balakrishner
Yields on JGBs mostly fall
Yields on Japanese Government Bonds (JGBs) mostly fell Monday over fears about demand at the 10-year bond auction Tuesday after a weaker-than-expected jobs data in the U.S.
The yield on 10-year JGBs fell 4.7 basis point to 1.506% while that of 5-year JGBs declined by 5.8 basis points to 1.026%.
Meanwhile, the yield on 20-year JGBs ticked down marginally to 2.554% while that on 30-year JGBs moved up just over 1 basis point to 3.119%.
Elsewhere in the U.S, yields on 10-year Treasurys had ticked up nearly 3 basis points to 4.2493% as of 4 p.m. Singapore time (4 a.m. ET).
— Amala Balakrishner
Oil drops marginally after OPEC+ price hike
Oil prices
Spot gold edges down over potential Fed rate cut
Spot gold fell Monday after rising 2% to hit a one-week high in its previous session, following concerns over a soft jobs report in the U.S. and possibility of an interest rate cut by the Federal Reserve.
Prices of the yellow metal were down 0.22% at $3,355.37 per ounce as of 11:05 a.m. Singapore time (11:05 p.m. ET Sunday).
Spot gold
Citi Investment Research expects gold to hit $3,500 per ounce in the next three months, up from $3,300 previously.
This is because “the near-term U.S. cyclical growth and inflation outlook has worsened of late,” as the higher-than-forecast tariffs “are likely to result in higher U.S. inflation, the investment firm’s analysts wrote in a Monday note.
Other factors that were considered include a weakening U.S. labor market and dollar bearishness, the analysts added.
— Amala Balakrishner
OPEC+ hikes oil production by 547,000 barrels per day for September
Oil prices slipped on Friday, weighed down by a stronger U.S. dollar and the possibility that OPEC+ will further increase its crude oil output.
Dado Ruvic | Reuters
OPEC+ agreed on Sunday to raise oil production by 547,000 barrels per day for September, the latest in a series of accelerated output hikes to regain market share, as concerns mount over potential supply disruptions linked to Russia.
OPEC+ cited a healthy economy and low stocks as reasons behind its decision.
“Given fairly strong oil prices at around $70, it does give OPEC+ some confidence about market fundamentals,” said Amrita Sen, co-founder of Energy Aspects, adding that the market structure was also indicating tight stocks.
In early Asian trade on Monday, Brent crude futures fell 43 cents, or 0.62%, to $69.24 a barrel by 2218 GMT, while U.S. West Texas Intermediate crude was at $66.94 a barrel, down 39 cents, or 0.58%, after both contracts closed about $2 a barrel lower on Friday.
Read more here.
— Reuters
