Investing.com - Financial Markets Worldwide
🥇 First rule of investing? Know when to save! Up to 55% off InvestingPro before BLACK FRIDAYCLAIM SALE

Market Brief: Risk On Upset By U.S. Chip Maker Woes, Brexit Delay

ByCity Index
AuthorMatt Simpson
Published 10/23/2019, 02:29 AM
EUR/USD
-
GBP/USD
-
USD/CHF
-
AUD/USD
-
NZD/USD
-
JP225
-
HK50
-
JPY/USD
-
TXN
-
DXY
-
Daily % Candles

FX Brief:

  • With the British parliament still unsure of how or when Brexit could go through, it was a mild risk-off session in Asia overall yet volatility remained contained. All pairs from the FX dashboard remaining below their daily ATRs. JPY is the strongest major whilst AUD and GBP are the weakest.

  • RBNZ’s Hawkesby “very happy” with how cuts have fed through to the economy, adding that inflation could be fuelled by higher house prices (so long as this leads to consumption).

  • DXY and USD/CHF nudged their way to a 3 and 4-day high respectively as the greenback extends yesterday’s correction.

  • AUD/USD and NZD/USD also retreated earlier in the session, with AUD finding support just above the June ’19 low. EUR/USD also edged lower yet key support resides 1.110.

    • GBP/USD also tested a 4-day low but we’re waiting for Brexit headlines from the UK or U.S. session to really get this one moving.
    Asian Cash Indices % Change

    Equity Brief:

  • A sea of red for Asian stock markets today after soft earnings numbers from a bellwether U.S. semiconductor firm, Texas Instruments (NASDAQ:TXN) also the 3rd largest component stock in the PHLX Semiconductor Sector Index.

  • After the close of yesterday’s U.S. session, the share price of Texas Instruments (NASDAQ:TXN) has tumbled by close to -10% to print an intraday low of 114.40 in after-hour trading after it reported Q3 revenue that came in below expectations (US$3.77 billion versus US$3.8 billion consensus) and offer a lacklustre Q4 earnings guidance. It has closed yesterday at $128.57.

  • The worst performer so far today is the Hong Kong’s Hang Seng Index which has declined by -0.94% where major technology related stocks took the brunt today. ACC Technologies and Tencent Holdings have plummeted by -3.70% and -1.89% respectively. In addition, there is media report that stated that the Chinese government is drafting a plan to replace the current Hong Kong’s Chief Executive Lam with an “interim” chief executive and Lam’s successor is likely to be installed in March. Perhaps such action will be not be able to alleviate the 5-month long of street demonstrations as the chief executive is still picked by the central government rather than local Hong Kong votes.

  • Japan’s Nikkei 225 has managed to escape the carnage where losses in technological related stocks have been offset by gains seen in health care and industrial related stocks, Sumitomo Heavy Industrials has recorded a gain of 3.09%.

  • Nikkei 225 heavy weightage stock, Softbank Group has tumbled by -2.6%; dragged down by its investment related woes in embattled start-up WeWork. Softbank has agreed to cough up a US$9.5 billion rescue package in exchange for a 80% stake in WeWork.

  • The S&P 500 E-Mini futures has extended a modest decline of -0.19% in today’s Asian session to print a current intraday low of 2982 after it reintegrated back below the 3000 psychological level at the close of yesterday’s U.S. session.

    • Economic Calendar

    Economic Calendar

    Original Post

    Latest comments

    Loading next article…
    Install Our App
    Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
    Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
    Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
    It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
    Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
    © 2007-2024 - Fusion Media Limited. All Rights Reserved.