Headlines/Economic Data
General Trend: Asian equities track US gains
Traders looking ahead to BoJ Gov Kuroda’s post rate decision press conference (expected around 6:30 GMT)
US dollar (USD) generally weaker versus Asian currencies: PBoC fixed yuan at multi-year high for 3rd straight session
GBP/USD: During Asian session, the pair briefly traded above 1.40 for the first time since June 2016 Brexit vote
Japan
Nikkei 225 opened +0.5%; closed +1.3%
(JP) Japan’s Topix passes 1,900 for the first time since 1991
TOPIX Real Estate Index +2.0%, Securities +1%, Information/Communication +0.8%
Automakers trade generally higher: Honda +1.5%, Toyota +0.9%, Nissan +0.9%
(JP) BoJ Jan Loan Officer Opinion Survey: Company loan demand 8 v 6 prior
(JP) Japan and France will agree on a defense logistics framework ahead of state visits – press
(JP) BOJ Quarterly Outlook for Economic Activity and Prices, Affirms all GDP and CPI forecasts
(JP) BANK OF JAPAN (BOJ) LEAVES INTEREST RATE ON EXCESS RESERVES (IOER) UNCHANGED AT -0.10%; AS EXPECTED: vote again 8-1 as Kataoka again dissents
Looking Ahead: Japan: BoJ Gov Kuroda due to hold post rate decision press conference after the close
Tokyo Steel expected to report earnings after the close
Korea
Kospi opened +0.3%
Financials trade broadly higher: Industrial Bank of Korea +2.9%, Woori Bank +2.7%, Shinhan +1.7%
LG Display, 034220.KR Reports Q4 (KRW) Net 36.9B v 203Be; Op 44.0B v 250Be; Rev 7.1T v 6.9Te
LG Electronics [066570.KR]: -1.5% (Trump administration approves safeguard tariff action on imported washing machines)
(KR) Reportedly South Korea govt has asked state banks to refrain from overseas bond offerings, in order to minimize impact on FX – Korean press
(KR) Six South Korean banks will begin issuing new trading accounts for cryptocurrencies next week by introducing a system that bans the use of anonymous accounts in cryptocurrency transactions – Korean press
China/Hong Kong
Hang Seng opened +0.7%, Shanghai Composite +0.1%
Hang Seng Information Tech Index +1.3%, Services +1.2% (strength in gaming names, Wynn Macau +5%), Financials +1.3%
(CN) China Premier Li: Needs to be solid efforts to push reforms and innovation in 2018 (Chairing a plenary meeting of the State Council) – Xinhua
(HK) IMF concludes Hong Kong Article IV Consultation talks: Sees Hong Kong SAR* 2018 GDP growth of 2.8%
(CN) HSBC’s Asian Economics Research co-head Neumann: The use of the yuan is expected to increase going forward – Xinhua
(CN) China to consider more tax cuts to sustain economic recovery – Xinhua
(CN) China PBOC OMO: Injects CNY170B v CNY100B injected in 7,14 and 63-day reverse repos prior: Net injection CNY0B v CNY20B injected prior
USD/CNY (CN) PBOC SETS YUAN REFERENCE RATE AT 6.4009 v 6.4112 PRIOR (strongest level since Dec 7th, 2015)
Leshi Internet, 300104.CN Says faces operational difficulty without new investment; to fix cash shortage through borrowings and capital raisings (halted)
Australia/New Zealand
ASX 200 opened +0.1%; closed %
ASX 200 Energy Index +1.5%, Resources +0.8%, Financials +0.8%
QBE.AU Guides FY17 combined ratio ~104% (prior 100-102%); To book A$700M impairment charge against North America assets, starts strategic review of Latin America operations; opens -5%
Other Asia
(PH) PHILIPPINES Q4 GDP Q/Q: 1.5% V 1.6%E; Y/Y: 6.6% V 6.7%E, 2017 GDP Y/Y: 6.7% V 6.7%E
(SG) SINGAPORE DEC CPI M/M: -0.1% V +0.2%E; Y/Y: 0.4% V 0.5%E
North America
US equity markets ended higher: Dow +0.6%, S&P500 +0.8%, Nasdaq +1%, Russell 2000 +0.5%
S&P500 Energy Sector +2.2%, Consumer Discretionary +1.1%, Tech +1%
WHR Trump administration approves safeguard tariff action on imported washing machines – press
Netflix [NFLX]: Gains over 8% in afterhours: Reports Q4 $0.41 v $0.41e, Rev $3.29B v $3.28Be; Guides Q1 $0.63 v $0.57e, total Rev $3.69B v $3.52Be; Q4 Total streaming net adds 8.3M v 5.3M q/q v 6.3M forecast
Steel Dynamics [STLD] Reports Q4 $1.28* v $0.49e, Rev $2.3B v $2.17Be
(US) Senate gained sufficient votes to end govt shutdown
(US) House passes stop gap govt funding bill (as expected), President Trump will sign and then go into effect
Looking Ahead: Weekly US API Crude Oil Inventories to be released
Companies expected to report earnings on Tuesday include JNJ, Procter & Gamble, State Street, Texas Instruments, Travelers, United Continental, Verizon
Europe
GEA Group [G1A.DE]: Guides FY17 adj EBITDA €585M v €566M y/y; Rev €4.58B v €4.49B y/y; Guides FY18 Operating EBITDA €590-640M
Logitech [LOGI]: Reports Q3 $0.65 v $0.56 y/y, Rev $812M v $667M y/y: Raised FY18 guidance
Volkswagen [VOW3.DE]: Guides 2018 China growth similar to 2017, sees passenger car market up around 4% and sees its own growth as similar
Looking Ahead: Germany Jan ZEW Survey due for release
Levels as of 01:00ET
Nikkei225 +1.3%, Hang Seng +1.2%; Shanghai Composite +0.6%; ASX200 +0.8%, Kospi +1.1%
Equity Futures: S&P500 +0.2%; Nasdaq100 +0.2%, Dax +0.2%; FTSE100 +0.1%
EUR 1.2276-1.2251; JPY 111.03-110.55; AUD 0.8029-0.7982;NZD 0.7354-0.7314
Feb Gold +0.3% at $1,335/oz; Mar Crude Oil +0.6% at $63.98/brl; Mar Copper -0.2% at $3.19/lb
 US dollar (USD) generally weaker versus Asian currencies: PBoC fixed yuan at multi-year high for 3rd straight session GBP/USD: During Asian session, the pair briefly traded above 1.40 for the first time since June 2016 Brexit vote){kind=link}