China Inflation Data To Be Released On Wednesday

Nov 09 21, 05:58 GMT

General trend

Equity indices generally reverse gains.
Nikkei opened higher as heavyweight Softbank rose on buyback announcement, the index has since reversed its gain.
Japanese companies due to report earnings include Nissan Motor, Nexon, IHI Corp.
Shanghai Composite ended morning trading fractionally lower.
Hang Seng has declined despite the higher open.
S&P ASX 200 has traded slightly lower.
USD/JPY dipped amid speculation related to Fed Chair position; AUD/JPY also declines.
PHP rises on better GDP data.
Companies due to report during the NY morning include ADT, Blue Apron, BioNTech, Cardinal Health, DR Horton, Hain Celestial, Hilton Grand Vacations, HUYA, International Game Technology, II VI, Melco Resorts, Palantir, Party City, Echostar, SeaWorld, Sysco, Triumph Group, Westrock.

Headlines/Economic Data

Australia/New Zealand

ASX 200 opened +0.0%.
NAB.AU Reports FY21 (A$) adj Cash Earnings 6.56B v 4.7B y/y, Net Op Rev 16.7B v 17.3B y/y.
JHX.AU Reports Q2 adj Net $154.9M v $120.5M y/y; adj EBIT $205.7M v $163.1M y/y; Rev $903.2M v $764M y/y.
(AU) Australia Oct NAB Business Confidence: +21 v +10 prior; Conditions: +11 v +5 prior.
(NZ) New Zealand Oct Total Card Spending M/M: 9.5% v +1.6% prior; Retail Card Spending M/M: 10.1% v +0.9% prior.
(AU) Australia sells A$150M v A$150M indicated in 0.75% Nov 2027 Indexed Bonds, Avg Yield: -0.8456%, bid to cover 4.85x.

Japan

Nikkei 225 opened +0.2%.
(JP) Japan LDP Party and coalition member party Komeito have agreed to an early ¥50K cash handout – Japan press.
(JP) Japan PM Kishida: Confirms wants to compile economic stimulus package by Nov 19th and extra budget by end of Nov.
6502.JP Reportedly set to split itself into three listed companies by 2023, following strategic review expected results due this week – Nikkei.
Follow Up: 6502.JP In process of formulating mid term plan, no plans as of now to split company, but could be an option – comments on press.
(JP) Japan Sept Current Account: ¥1.03T v ¥1.06Te; Adj Current Account: ¥762.7B v ¥847.2Be.
(JP) Japan MoF sells ¥900B v ¥900B indicated in 0.7% 30-year JGBs, avg yield 0.6830% v 0.7020% prior, bid to cover: 3.45x v 2.90x prior.
(JP) Japan Oct Eco Watchers Current Survey: 55.5 v 48.0e (highest level since Jan 2014); Outlook Survey: 57.5 v 57.0e.
9984.JP Reports H1 Net ¥363.7B v ¥1.88T y/y, Op ¥1.05T v ¥1.44T y/y, Rev ¥2.98T v ¥2.63T y/y; share buyback of up to ¥1T (14.6% of market cap); No longer lists Amazon, Paypal and TSMC among its investments (yesterday after the close).

Korea

Kospi opened -0.1%.
005930.KR With Hynix provided supply chain data related to chips to US, but both withheld key data – Yonhap.
(KR) According to satellite imagery, North Korea is still operating its key uranium plant – Yonhap.

China/Hong Kong

Hang Seng opened +0.8%; Shanghai Composite opened +0.2%.
(HK) Hong Kong Monetary Authority (HKMA) said to have requested banks report exposure to China property market – press.
(CN) China is considering new measures to open up capital markets, including the trading of financial and commodity futures – China Securities Journal.
1638.HK Taking various measures to solve liquidity issues; Accelerating sales of existing properties.
(CN) Follow Up: More cities in China have tightened the use of proceeds from property pre-sales – Chinese press.
(CN) Said that China state researchers [at China State Council Think Tank] held a meeting with property developers on Monday, Nov 8th, discussed market risks and taxes.
(CN) China PBOC sets Yuan reference rate: 6.3903 v 6.3959 prior.
(CN) China PBOC Open Market Operation (OMO): Injects CNY100B in 7-day reverse repos v CNY100B prior; Net inject CNY90B v Net inject CNY90B prior.
175.HK Reports Oct Vehicle Sales 111.6K units, -20% y/y (yesterday after the close).

Other

(TW) Taiwan Defense Min: China’s increasing military strenght is a severe challenge for the country.

North America

RBLX Reports Q3 -$0.13 v -$0.26 y/y, Rev $509.3M v $251.9M y/y; Based on our October results, we appear to be having a great start to Q4.
TDUP Reports Q3 -$0.15 v -$0.15e, Rev $63.3M v $61.8Me.
AMRS Reports Q3 -$0.27 v -$0.15e, Rev $47.9M v $64.2Me; To offer $400M of convertible senior notes due 2026.
SDC Reports Q3 -$0.23 v -$0.15e, Rev $138M v $182Me; Guides Q4 Rev $120-140M v $200Me; Cuts FY guidance.
(US) Said that Brainard (Dove) was interviewed by President Biden and is a contender to become Fed Chair, cites sources – US financial press.

Europe

(UK) Oct BRC Sales LFL Y/Y: -0.2% v -0.6% prior.
(EU) ECB chief Lagarde: Confident current high inflation is transitory.
(DE) Advisers to German Chancellor Merkel expect Germany economy to grow 4.6% in 2022; Believe economy will grow 2.7% in 2021 – German press.

Levels as of 01:15ET

Hang Seng -0.1%; Shanghai Composite +0.0%; Kospi -0.2%; Nikkei225 -0.7%; ASX 200 -0.1%.
Equity Futures: S&P500 -0.3%; Nasdaq100 -0.2%, Dax -0.2%; FTSE100 -0.4%.
EUR 1.1601-1.1577; JPY 113.29-112.72; AUD 0.7426-0.7391; NZD 0.7168-0.7147.
Commodity Futures: Gold -0.2% at $1,825/oz; Crude Oil -0.1% at $81.86/brl; Copper -0.3% at $4.38/lb.