Today: March 04, 2024
Today: March 04, 2024

Stock market today: Asia markets rise ahead of US consumer prices update

Share This
Stock market today: Asia markets rise ahead of US consumer prices update
AP
DAMIAN J. TROISE and ALEX VEIGA
December 10, 2023

Asia markets opened higher following a positive close on Wall Street. Investors are eagerly awaiting a crucial U.S. inflation report later in the day, which will likely set the tone for the Federal Reserve’s final meeting of the year on Wednesday.

U.S. futures and oil prices advanced.

Tokyo’s Nikkei 225 added 0.5% to 32,959.50. Data released on Tuesday showed the wholesale prices in Japan rose by 0.3% from the previous year in November, which marked the slowest rate of increase in almost three years, suggesting a moderation in inflationary pressure in the economy.

Hong Kong’s Hang Seng gained 1.1% to 16,367.00, and the Shanghai Composite edged 0.1% higher, to 2,993.65.

Chinese leaders are holding an annual economic conference expected to wrap up Tuesday with pledges to spur stable growth.

In Seoul, the Kospi was up 0.4% at 2,534.15. Australia’s S&P/ASX 200 climbed 0.5% to 7,233.90.

India’s Sensex gained 0.2%, while the SET in Bangkok lost 0.3%.

On Monday, the S&P 500 rose 0.4% to 4,622.44, finishing at its highest level in 20 months. The Dow gained 0.4% to 36,404.93 and the Nasdaq added 0.2% to close at 14,432.49.

The muted gains follow a six-week winning streak by the major stock indexes. The S&P 500 is up 20.4% for the year and the Nasdaq is up 37.9%.

Cigna surged 16.7% for the biggest gain among S&P 500 stocks after the health insurer announced a $10 billion stock buyback, and the Wall Street Journal reported that the company is no longer pursuing a merger with Humana.

Macy’s jumped 19.4% following reports that an investor group is launching a bid to take the storied retailer private for $5.8 billion.

On Tuesday, the government will release its November report on consumer inflation. Analysts expect the report to show that inflation continued slowing to 3.1% from 3.2% in October. On Wednesday, the government will release its November report on inflation at the wholesale level, which is also expected to show that the rate of inflation is easing.

Wall Street is overwhelmingly betting that the Fed will keep its benchmark interest rate at a range of 5.25% to 5.50% into early 2024 and could start cutting rates by the middle of that year. Analysts are also becoming more comfortable with the possibility that the central bank can pull off a “soft landing,” which refers to inflation easing under high interest rates without the economy falling into a recession.

“With inflation coming down faster than expected, it now appears likely that the Fed will refrain from additional rate hikes," Brian Rose, a senior U.S. economist at UBS, said in a note to investors. “At the same time, inflation is still too high and the labor market is still too tight for the Fed to consider cutting rates soon.”

Strong consumer spending and a solid jobs market have provided a bulwark to the broader economy, where growth has slowed but has so far avoided stalling. The government’s jobs report on Friday showed that U.S. employers added more jobs last month than economists expected. Workers’ wages also rose more than expected, and the unemployment rate unexpectedly improved.

Several big companies will report their earnings this week and are among the few remaining to release their results. Software company Adobe will report on Wednesday and Olive Garden owner Darden Restaurants will release its results on Friday.

Treasury yields were little changed. The yield on the 10-year Treasury held steady at 4.22%.

In energy trading, U.S. benchmark crude oil added 25 cents to $71.57 per barrel in electronic trading on the New York Mercantile Exchange. It gained 0.1% Monday. Brent crude, the international standard, picked up 24 cents to $76.27 per barrel.

The U.S. dollar fell to 145.60 Japanese yen from 146.16 yen. The euro rose to $1.0769 from $1.07613.

___

AP Business Writers Alex Veiga and Damian J. Troise contributed.

Popular

Brothers Travis and Jason Kelce honored with bobblehead giveaway at Cavs-Celtics game

Taylor Swift’s boyfriend has taken shaking it off to another level

Takeaways from Trump's Supreme Court win on procedural grounds: His legal peril is just starting

:Former President Donald Trump scored a clear win at the U.S. Supreme Court on Monday, which unanimously ruled that states don’t have the ability to bar him — or any other federal candidates — from the ballot under a rarely-used constitutional provision that prohibits those who “engaged in insurrection” from holding office

Goldman, New York mayor make $50 million pledge on affordable housing

NEW YORK (Reuters) - Goldman Sachs and the New York City Mayor's Office on Monday announced a $50 million initiative to support minority-owned affordable housing developers.

Netanyahu leaned on his top rival to help unify Israel. Now, Benny Gantz is more popular

Benny Gantz, who is in Washington this week for meetings with U.S. leaders, is a crucial member of Israel’s War Cabinet

'Uncommitted' protest aims at Minnesota over Biden's Israel support

By Nandita Bose MINNEAPOLIS (Reuters) - The "uncommitted" movement to pressure U.S.

Yemen's Houthis say they targeted 'Israeli ship MSC SKY' in the Arabian Sea

CAIRO (Reuters) - Houthi military spokesperson Yahya Sarea said on Monday the Iran-aligned group had targeted the "Israeli ship MSC SKY" in the Arabian sea.

Related

Nippon Steel exec to meet USW head to seek support for U.S. Steel deal

By Yuka Obayashi and Ritsuko Shimizu TOKYO (Reuters) - A senior Nippon Steel executive told Reuters he is set to meet the United Steelworkers (USW) union chief this month to seek support for acquiring

First over-the-counter birth control pill in US begins shipping to stores

The first over-the-counter birth control pill will be available in U.S. stores later this month

Ohio foundation begins process to distribute millions in opioid settlement money

Ohio is ready to begin doling out hundreds of millions of dollars in opioid settlement money to community and government organizations

American Airlines to buy 260 new planes from Airbus, Boeing and Embraer to meet growing demand

American Airlines is ordering 260 new planes to meet growing travel demand and increase the airline’s supply of premium seats

- Advertisement -
Advertisement: Limited Time Offer