Jul 27 ,2023
Synopsis:
Asian markets set for negative start to Friday trade. Nikkei, Hang Seng and ASX futures all pointing to declines on the open. S&P 500 futures steady following overnight pullback attributed to BOJ YCC tweak speculation. Big back up in Australian and New Zealand bond yields with the curve steepening. Yen extending gains, highest against dollar in over a week. Precious and base metals nursing losses, crude off earlier highs.
BOJ meets today following reports board members will discuss YCC tweak. Nikkei noted central bank could maintain 0.5% ceiling but tolerate orderly increase above that level while intervening via JGB purchases to prevent sudden spike in yields. Nikkei article had outsized impact on yen with traders positioned for more volatility in the aftermath of the meeting. Data this morning showed Tokyo core CPI higher than expected in July with ex-food and energy inflation hitting 4.0%.
Following dovish Politburo meeting, China officials have begun to flesh out policies to boost real estate and tech sectors. China's housing minister flagged measures to make it easier for homeowners to acquire another home, relax downpayment restrictions and lowering rates first home buyers. Meanwhile, PBOC urged banks to help finance tech sector M&A and research. Economists also expect broader measures such as faster issuance of special bonds as well as rate and/or RRR cuts.
Pre-open Company News:
543463.IN -- Vedant Fashions downgraded to add from buy at ICICI Securities
506395.IN -- Coromandel International reports Q1 consolidated EPS INR16.78 vs year-ago INR16.96
DCRU.SP -- Digital Core REIT reports H1 distributable income to unitholders $21.5M, (8%) vs forecast $25.2M
600309.CH -- Wanhua Chemical Group reports H1 net income attributable CNY8.57B, (17%) vs year-ago CNY10.38B
024110.KS -- Industrial Bank of Korea releases sustainability report
6301.JP -- StreetAccount Consensus Metrics Preview - Komatsu Q1 Earnings
2096.HK -- Simcere Pharmaceutical Group guides H1 net income attributable CNY2.25-2.31B vs year-ago CNY63.8M
500490.IN -- Bajaj Holdings & Investment reports Q1 consolidated EPS INR127.20 vs year-ago INR87.10
1909.HK -- Fire Rock Holdings posts delayed 22H1 results; reports net income attributable HK$20.4M vs year-ago HK$271.7M
532814.IN -- Indian Bank reports Q1 standalone EPS INR13.72 vs year-ago INR9.74
HO.FP -- UK's CMA extends deadline to rule on Hitachi Rail's acquisition of Thales' Ground Transportation Systems business to 6-Oct
002460.CH -- Ganfeng Lithium Group acquires 70% of Jiabus Nitan Mining for CNY1.42B
3323.HK -- China National Building Material to hold 15-Aug EGM to consider merger by absorption and compensation agreements
China reports Jan-Jun insurance premium
AUE.SP -- Golden Energy & Resources receives no objection from SGX to delisting application
On Deck:
Hong Kong:
Earnings:
Hutchison Telecommunications Hong Kong Holdings (215.HK)
Japan:
Economic:
09:30 JST: Import NSA Y/Y (Final); consensus (12.9%)
09:30 JST: Export NSA Y/Y (Final); consensus +1.5%
09:30 JST: Trade Balance NSA (Final); consensus
BOJ policy statement, press conference
Earnings:
Matsui Securities Co. (8628.JP), SMS Co. (2175.JP), Yakult Honsha (2267.JP), M3 (2413.JP), Komatsu (6301.JP), Hitachi (6501.JP), Socionext (6526.JP), NEC Corp (6701.JP), Seiko Epson (6724.JP), Alps Alpine Co. (6770.JP), FANUC Corp (6954.JP), SG Holdings (9143.JP), ANA HOLDINGS (9202.JP), KDDI Corp (9433.JP), Shimizu (1803.JP), Daito Trust Construction (1878.JP), Nihon M&A Center Holdings (2127.JP), Nippon Sanso Holdings (4091.JP), Oriental Land Co. (4661.JP), JTEKT Corp (6473.JP), KEYENCE (6861.JP), DENSO Corp (6902.JP), SCREEN (7735.JP), Toyota Tsusho (8015.JP), Sumitomo Mitsui Trust Holdings (8309.JP), Japan Exchange (8697.JP), Odakyu Electric Railway Co. (9007.JP), East Japan Railway (9020.JP), Central Japan Railway (9022.JP), Chubu Electric Power Co. (9502.JP)
South Korea:
Economic:
08:00 KST: Industrial Production M/M; consensus +0.3%
08:00 KST: Industrial Production NSA Y/Y; consensus (5.4%)
Earnings:
Yuhan Corp (000100.KS), S-Oil Corp (010950.KS), Doosan Enerbility (034020.KS), HANKOOK TIRE & TECHNOLOGY Co. (161390.KS), SK bioscience Co. (302440.KS)
Australia:
Economic:
11:30 AEST: Retail Sales SA M/M (Preliminary); consensus (0.1%)
Earnings:
BCI Minerals (BCI.AU), Champion Iron (CIA.AU)
India:
Earnings:
Coromandel International (506395.IN), Indian Oil Corp. (530965.IN), SBI Cards & Payment Services (543066.IN), United Breweries (532478.IN), Bank of India (532149.IN)
Singapore:
Earnings:
Seatrium (S51.SP), Hongkong Land Holdings (H78.SP), Jardine Matheson Holdings (J36.SP), CDL Hospitality Trusts (J85.SP), Jardine Cycle & Carriage (C07.SP)
Taiwan:
Economic:
16:00 TST: GDP NSA Y/Y (Preliminary); consensus +1.8%
Earnings:
MediaTek (2454.TT)
Market Data:
Gold (Aug 23): +$0.10 or +0.01% to $1945.80
WTI Crude (Sep 23): ($0.42) or (0.52%) to $79.67
$-¥: (1.24) or (0.88%) to 139.0050
$-KRW: +9.06 or +0.71% to 1283.2300
A$-$: (0.01) or (0.79%) to 0.6709
$-INR: +0.32 or +0.39% to 82.3749
$-CNY: +0.02 or +0.31% to 7.1732
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