Jan 20 ,2026
Synopsis:
Asian markets set for negative start to Wednesday trade. Futures signaling opening declines in Japan and Hong Kong. ASX lower in initial trade. S&P 500 futures edging higher after index experienced biggest daily loss since October. Australian bonds little changed after JGB yield backup reverberated globally on Monday with Treasuries under pressure. FX markets steady after dollar skidded to two-week low. Crude reversing earlier gains while gold unchanged after rallying to fresh record high. Bitcoin flat after erasing most of its January gains.
JGB selloff the big market story superlong yields spiked to record highs with intraday moves the largest since 'Liberation Day' in Apr-2024. Blame went largely to PM Takaichi's recent comments about temporarily reducing food sales tax to zero, heightening market angst about implications for deficits from an increasingly expansionary fiscal policy and inviting comparisons to Truss shock in 2022. Concerns about tepid demand underlined further by Tuesday's weak 20Y auction. Volatility prompted Finance Minister Katayama to urge calm and stress that government will weigh options to fund tax cuts.
Market continues to navigate ramp in trade tensions following President Trump's threat to impose tariffs on EU unless Denmark hands over Greenland, reviving 'sell America' trade with stocks, bonds and dollar all under pressure. Trump not backing down and predicted things will work out while refusing to divulge lengths he will go to acquire Greenland. There continues to be a lot of discussion about potential European countermeasures (tariffs and anti-coercion instrument), though accompanied by talk about off ramps that will avert worst-case scenario amid view tariff threat tantamount to another 'escalate-to-deescalate' strategy.
Pre-open Company News:
000720.KS -- HYUNDAI ENGINEERING & CONSTRUCTION CO. now guides EBIT KRW650.0B vs prior guidance KRW1.183T and FactSet KRW641.81B [19 est, KRW571.50-693.72B]
533179.IN -- Persistent Systems reports Q3 consolidated EPS INR27.94 vs year-ago INR23.93
000729.CH -- Beijing Yanjing Brewery guides FY net income attributable CNY1.58-1.74B vs FactSet CNY1.56B [14 est, CNY1.43-1.61B]
541770.IN -- CreditAccess Grameen reports Q3 consolidated net income INR2.52B vs FactSet INR2.38B [6 est, INR2.09-2.61B]
544606.IN -- Pine Labs unit Setu receives RBI approval to acquire remaining stake in Agya Technologies, terms undisclosed
540611.IN -- AU Small Finance Bank reports Q3 EPS INR8.87 vs FactSet INR8.78 [5 est, INR8.30-9.40]
China December air passenger traffic 60.6M, +6.4% y/y
532209.IN -- Jammu & Kashmir Bank reports Q3 consolidated EPS INR5.28 vs year-ago INR4.80
523367.IN -- DCM Shriram reports Q3 consolidated EPS ex-items INR15.90 vs year-ago INR16.81
COGT -- Cogent to initiate NDA submission for Bezuclastinib under Real-Time Oncology Review (RTOR)
600098.CH -- Guangzhou Development Group reports Q3 total power generation 5.46B kWh, +3.0% y/y
543248.IN -- Aayush Agrawal's Inspira Global to acquire Restaurant Brands Asia at INR70/share
688050.CH -- Eyebright Medical Technology (Beijing) to acquire 51% stake in Delta Medical (Chongqing)
1672.HK -- Ascletis Pharma selects ASC37 as clinical development candidate for treatment of obesity
542726.IN -- IndiaMART InterMESH reports Q3 consolidated EPS INR31.24 vs FactSet INR20.84 [7 est, INR16.30-25.30]
On Deck:
China:
Economic:
08:00 CST: Foreign Direct Investment Y/Y; consensus
Japan:
Earnings:
DISCO Corp. (6146.JP)
South Korea:
Earnings:
Samsung Biologics (207940.KS)
India:
Earnings:
Vardhman Textiles (502986.IN), Supreme Industries (509930.IN), UTI Asset Management (543238.IN), Oracle Financial Services Software (532466.IN), Hindustan Petroleum (500104.IN), KEI Industries (517569.IN), Jindal Stainless (532508.IN), PNB Housing Finance (540173.IN), WAAREE Energies (544277.IN)
Market Data:
Gold (Feb 26): ($2.20) or (0.05%) to $4763.60
WTI Crude (Feb 26): $0.00 or 0.00% to $60.34
$-¥: +0.08 or +0.05% to 158.1520
$-KRW: +4.22 or +0.29% to 1477.7800
A$-$: +0.01 or +0.75% to 0.6733
$-INR: +0.41 or +0.46% to 91.1183
$-CNY: (0.01) or (0.12%) to 6.9602
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