Sep 23 ,2026
Synopsis:
Asia equities poised to open lower Thursday. Futures in Hong Kong and Australia traded lower. Japan also softer over the session before the resumption of trade (though still higher than prior close). South Korea closed for the rest of the week. Japan ADRs all lower. Golden Dragon China index fell a sharper 1.43%. US contracts steady after broad weakness overnight. Sectors skewed to losses. Tech lagged with SOX index down 1.23% with US big tech group leaning softer. Treasuries notably weaker with some curve flattening; 2Y yield at fresh multiyear highs while 10Y back above 5.10% for fresh post-GFC highs. Session was highlighted by a very weak 5y auction. Dollar index was up 0.5%. Gold finished down 1.3%. Bitcoin futures down 2%. WTI crude settled up 1.8%, though ended off best levels.
Key themes broke bearish for stocks. Sharp rise in bond yields drew most of the attention, underscored by the 5y auction, on the heels of hawkish takeaways from firmer than expected PMIs and latest Fedspeak. Flurry of bearish talk about potential fallout with most of the curve having breached the longstanding key threshold of 5% October Fed rate hike expectations climbed notably above 50% and swaps eye a fourth move over the year. Crude oil rebounded with Brent snapping five-day downstreak after Iran President Pezeshkian stood his ground against Trump's latest threats at the UN and security chief Rezaei said Strait of Hormuz won't be reopened while conditions are not met.
Upcoming Trump-Xi summit remains in the regional spotlight. Bessent told Fox News he reached agreement in a meeting with China Vice Premier He Lifeng to extend the trade truce until 10-Jan. Follows earlier encouraging remarks and flagged Trump and Xi could hold another two meetings this year in Shenzhen and Miami. No confirmation from China yet. Latest discussions featured thoughts that neither side wants to slow AI development, and the summit is more likely to yield narrow guardrails. Dollar strength driven by wider yield differentials also in focus with yen falling back below levels presaging the reported BOJ rate check. Main macro indicators on the calendar: Japan flash PMIs expected to see manufacturing activity remaining in expansion. Australia employment seen rebounding from last month's weakness amid hawkish tilt in RBA rate hike expectations.
Pre-open Company News:
2696.HK -- Shanghai Henlius Biotech signs global TCE drug collaboration with Amberstone Biosciences
2157.HK -- Lepu Biopharma to present 4 clinical studies at 2026 ESMO; CMG901, MRG007 selected as LBA
534076.IN -- RHI Magnesita India holder Dalmia Bharat Refractories discloses sale of entire 13.1% stake or 27.0M-shares
StreetAccount Macro Headlines:
StreetAccount Themes Headlines (23-Sep)
1860.HK -- Mobvista initiated buy at HSBC
268.HK -- Kingdee International Software Group assumed neutral at JPMorgan; prior rating was overweight
Hong Kong stock connect daily turnover
4503.JP -- Astellas Pharma reports first patient dosed in Phase 3 Study of setidegrasib in previously treated KRAS G12D-Mutated Advanced NSCLC
300136.CH -- Sunway Communication completes acquisition of 55% stake in Sunway Electronic Technology; deal was announced on 14-Jul
3317.HK -- Shenzhen Xunce Technology initiated overweight at JPMorgan
JPMorgan initiates 6682.HK; upgrades 688111.CH; downgrades 6687.HK; others
002203.CH -- Zhejiang Hailiang Co. to change name to Zhe Jiang Hai Liang Materials
543524.IN -- Rainbow Children's Medicare appoints Sudarshan Patodia as CFO, effective today
9831.JP -- Yamada Holdings sells 100% of Shenyang unit for CNY130M, exits remaining China Denki assets
On Deck:
Hong Kong:
Earnings:
CTF Services (659.HK)
Japan:
Earnings:
Oracle Corp Japan (4716.JP)
Australia:
Economic:
11:30 AEST: Unemployment Rate; consensus 4.5%
11:30 AEST: Employment SA; consensus +20K
Earnings:
Core Lithium (CXO.AU)
Market Data:
Gold (Dec 26): +$5.20 or +0.12% to $4323.60
WTI Crude (Nov 26): ($0.02) or (0.02%) to $92.14
$-¥: +0.95 or +0.60% to 158.3370
$-KRW: +10.54 or +0.78% to 1364.4100
A$-$: (0.01) or (1.08%) to 0.7037
$-INR: +0.46 or +0.48% to 96.0100
$-CNY: +0.01 or +0.14% to 6.7092
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