Morning Update – 10/11/2017 – by Arjun Lakhanpal

November 10, 2017 by

Morning all.. Stocks had a wobble as it seems the tax reform plans in the US may be delayed but after all the noise settled the S&P only closed down 0.38%. But the likes of USDJPY remained weak and this weighed on the Nikkei which closed down 0.82%. The MSCI Asia Pacific Index fell for the first time this week, with stocks down in Sydney and Seoul, while other markets in the region were subdued after the previous day’s gyrations. Hong Kong and China stocks fluctuated as investors pondered news that China will allow overseas firms to take controlling stakes in local securities ventures and remove foreign ownership limits on its banks. FX was rather trapped in tight ranges. The Reserve Bank of Australia reiterated in its Statement on Monetary Policy released Friday a view that growth is picking up and inflation will remain subdued, indicating interest rates will stay at record lows. The New Zealand dollar fell after Finance Minister Grant Robertson said he expects to discuss the central bank’s focus on the 2 percent midpoint of its inflation target band when a new governor is appointed. EUR and GBP were restricted to tight ranges and USDJPY held above yesterday’s lows. It seems the dollar is not responding to higher US yields as the US 10yr yield sits up at 2.37%. This morning we get French & UK Industrial Production and UK Trade data and construction output. Good luck..