The Global Macro Pulse

After the 1.3% fall in the S&P 500 overnight, futures are up 0.2% and the US 10yr yield is flat in Asian trading. All Asian equity markets are down, led by a 1.3% fall in the Nikkei and a 1.1% fall in the Shanghai Composite. Kospi and Taiex are down 0.8% while the Hang Seng Index is off 0.6%.

The major currencies are basically flat at their New York closes: EURUSD is at 1.3409, USDJPY is 95.15, and AUDUSD is at 0.9464. The standout in EM Asia dollar pairs has been USDCNY, which fixed 95pips lower to 6.13550 ahead of better than expected October trade data. USDKRW gapped up at the open but has traded flat at 1063 since. USDMYR rose to a high of 3.1923, but has come back down to 3.1840 where it opened.

JGBs barely moved today. Yields in most Asian rates markets are down 1 – 2bps. Korean yields have outperformed, falling 4 – 5bps. In contrast China’s 7-day rate is up 9bps to 4.04%.