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StreetAccount Summary - Asian Market Preview: Nikkei Futures (0.34%), Hang Seng Futures +0.23%, ASX SPI 200 (0.57%), S&P Futures (0.09%)

Jun 05 ,2023

  • Synopsis:

    • Asian markets set for a mixed start to Tuesday trade. Nikkei and ASX futures pointing to declines on the open while Hang Seng futures marginally higher. US contracts little changed after a quiet Monday session. Australian bond yields turning lower ahead of RBA meeting. Yen continues to come off lows on major crosses. WTI crude erased gains that followed Saudi production cut.

    • RBA decision will be a close call with economists split on whether central bank will hold or hike cash rate by 25 bp. Hawkish view based on inflation stickiness concerns, upside risk to wage growth and low productivity growth, and quicker-than-expected rebound in house prices. Dovish view based on slowing consumption growth, surprise weakness in April jobs data, and time needed to assess lagged effects of past rate hikes.

    • Slowing Chinese economic momentum and lack of meaningful policy response has been a notable drag on Chinese equities over recent weeks. However, press reports over past few days have noted authorities readying support measures. Bloomberg noted regulators working on fresh round of support for property market. China Securities Journal also citing expectations of RRR and interest rate cuts over H2 in a bid to spur credit growth.

  • Pre-open Company News:

    • U96.SP -- SembCorp Industries signs gas sales agreement with PT Medco Energi Internasional worth SG$1.9B

    • 2633.TT -- Taiwan High Speed Rail reports May consolidated revenue NT$4.00B, +123.1% y/y

    • 732.HK -- Truly International Holdings reports May revenue HK$1.32B, (29.4%) y/y

    • ^ESGREADS -- StreetAccount ESG Reads

    • 1797.HK -- East Buy Holding upgraded to buy from outperform at SWS Research (timing uncertain)

    • 1918.HK -- Sunac China Holdings reports May contracted sales value CNY7.79B; StreetAccount notes year-ago figure CNY12.85B

    • 600588.CH -- Yonyou Network Technology launches CNY600-900M buyback at up to CNY32/share to run for 12 months

    • 2333.HK -- Great Wall Motor reports May sales volume 101,020 units, +26.2% y/y

    • JNJ -- Janssen announces results from interim analysis of Cohort 1 of Phase 3 THOR study of Balversa, other trials

    • 2338.HK -- Weichai Power appoints Zhang Quan as vice chairman of the board, effective immediately

    • 6666.HK -- Evergrande Property Services Group reports delayed FY22 results; net profit attributable CNY1.42B vs year-ago (CNY316.3M)

    • 500520.IN -- Mahindra & Mahindra announces Sunrise Trust has entered a share purchase agreement with Ocean Blue Boating to sell entire 81.58% stake in MMPL

    • 540716.IN -- ICICI Lombard General Insurance releases sustainability report

    • 600383.CH -- Gemdale Corp. reports May contracted sales CNY13.23B, (6.8%) y/y

    • 002714.CH -- Muyuan Foods sold 5.8M pigs (including 380K piglets) in May vs year-ago 5.9M

  • On Deck:

    • Japan:

      • Economic:

        • 08:30 JST: Real Household Income Y/Y; consensus

        • 08:30 JST: Real Household Consumption Expenditure Y/Y; consensus

    • Australia:

      • Economic:

        • 11:30 AEST: Current Account Balance SA; consensus +A$39.2B

        • 14:30 AEST: RBA Official Cash Rate; consensus +3.85%

    • Taiwan:

      • Economic:

        • 16:00 TST: CPI NSA Y/Y; consensus +2.3%

    • Thailand:

      • Economic:

        • 07:00 SAST: CPI NSA Y/Y; consensus +1.1%

    • Philippines:

      • Economic:

        • 09:00 SST: CPI Y/Y; consensus +6.05%

  • Market Data:

    • Gold (Aug 23): +$4.30 or +0.22% to $1978.60

    • WTI Crude (Jul 23): ($0.24) or (0.33%) to $71.91

    • $-¥: (0.55) or (0.40%) to 139.3910

    • $-KRW: (6.10) or (0.47%) to 1299.9800

    • A$-$: (0.00) or (0.11%) to 0.6614

    • $-INR: +0.11 or +0.13% to 82.5112

    • $-CNY: +0.02 or +0.28% to 7.1050

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