Forex Marketz Daily Forex News – Fully Markets Update
The equity and other financial markets in the Asian region traded rather mixed by the late morning hours (Hong Kong time). Asian traders are waiting on the result of key labor data out of the United States, due later in the day during the North American trade hours.
In Japan, the benchmark Nikkei 225 was down 0.4 percent by the late morning. The broader Topix index, in Tokyo, was down 0.41 percent.
In South Korea, the headline Kospi composite index was up 0.46 percent. Elsewhere in the Asian and Pacific Rim, the Australian S&P ASX 200 was down 0.35 percent.
In Hong Kong, the Hang Seng index is down 0.23 percent and on the mainland in China the headline bourses are lower. The Shanghai composite is down 0.15 percent and the Shenzhen component has fallen 0.17 percent by the late morning.
Asian Traders Digest new Stimulus out of the European Central Bank
The European Central Bank (ECB) has announced fresh monetary policy stimulus to spur economic activity and renewed economic growth as the Eurozone starts to recover from the Covid-19 lockdown.
Overnight, the ECB announced that they will increase their Emergency Purchase Program by 600 billion euros.
Financial market participants will be watching other key central banks closely over the coming days as economies start to reopen.
The unemployment numbers, in the United States, remain concerning. Millions are filing for first time claims. However, the weekly claims data is improving.
Traders wait on Key U.S. Labor Data
At 8:15 am EST, the United States will release their non-farm payroll (NFP) report for the month of May. The U.S. will also release the May unemployment rate, average hourly earnings and the labor participation rate. The unemployment rate is expected to shoot up to near twenty (20) percent, if not more.
Canada is also publishing key labor data. They are releasing their monthly unemployment rate and unemployment change. Canada is also releasing their monthly Ivey purchasing managers’ index (PMI).
Monthly German factory orders are on the schedule today. Italy will publish monthly retail sales data.
