7 minutes ago
What’s driving Monday’s rebound?
Vital Knowledge’s Adam Crisafulli noted that there are several technical factors fueling Monday’s rise in stock futures, “including extremely oversold prices.” The S&P 500 fell more than 2% for the second week in a row.
“Furthermore, the expectation of a catalyst also plays a role as investors hope that the end of the month coupled with favorable central bank decisions (BOJ, FOMC, BOE) and desired economic developments (cooler EU CPI, US JOLTs and US jobs) will help.” “Stabilize the bond,” he wrote.
“But after three consecutive months of losses … confidence has disappeared and there is little real interest in buying the tape,” Crisafulli added.
—Fred Imbert, Michael Bloom
2 hours ago
US to announce IPEF initiatives at APEC meeting, says Katherine Tai
New Indo-Pacific Economic Framework (IPEF) initiatives will be announced in November as the US seeks closer ties with its trading partners in the Indo-Pacific region, US Trade Representative Katherine Tai told CNBC.
Working with U.S. partners to promote sustainability, resilience and inclusivity is critical “at a time of many economic challenges,” Tai said on the sidelines of the G7 trade ministers meeting in Osaka, Japan.
“We also know that we cannot wait five or seven years for major trade negotiations to be concluded,” she added.
The initiative was launched by US President Joe Biden in May last year and is the US’s main economic strategy in Asia.
Further information about the story can be found here.
—Shreyashi Sanyal
3 hours ago
WTO chief warns global growth will be hit if conflict between Israel and Hamas widens
Global growth will be affected if the ongoing war between Israel and Hamas spreads to the wider Middle East region, the director general of the World Trade Organization has warned.
“If it spreads beyond the current level to the rest of the Middle East, it will have an impact,” Ngozi Okonjo-Iweala told CNBC’s Martin Soong.
That’s because the Middle East is “the source” of much of the world’s natural gas and oil, the WTO chief said.
An escalating conflict could further weigh on already “pretty dismal” trade growth, she added.
Read more about the story here.
–Sheila Chiang
8 hours ago
As the BOJ meeting begins, the 10-year Japanese bond yield is nearing an 11-year high
Japanese 10-year government bond yields neared an 11-year high on Monday as the Bank of Japan opened its two-day monetary policy meeting.
The yield on Japan’s 10-year government bond rose 2.29% to 0.893% on Monday, its highest level since briefly hitting 0.895% on Oct. 26. The last time the return was at this level was in April 2012.
In July, the BOJ effectively increased allowable yields on 10-year Japanese government bonds by 50 basis points to 1% each.
Read CNBC’s preview of the Bank of Japan policy meeting here.
—Lim Hui Jie
11 hours ago
Stock futures open higher on Sunday evening
S&P 500 futures opened 0.2% higher, while Nasdaq 100 futures gained 0.4%. Futures on the Dow Jones Industrial Average rose a few points.
Investors appeared to be betting on a somewhat oversold rally as all three benchmarks headed for their third consecutive negative month.
–John Melloy