- Asian markets traded cautiously after Fed Chair Powell's hawkish comments, with most indices keeping to tight ranges. Japan's Nikkei 225 rose 0.9% despite weak GDP, while China's CSI 300 edged lower. The ASX 200 gained 0.5%.
- US indices were lower during Asian trading with Russel 2000 leading the losses (-0.63%), while Nasdaq 100 was down 0.51% and S&P 500 (-0.38%).
- European indices are also set for lower open, with DAX40 trading 0.24% lower, while British UK100 (-0.19%).
- Japan's Q3 GDP growth slowed to 0.9% YoY from 2.2%, though beating estimates slightly. Private consumption remained the main support while exports and capital spending weakened. Core CPI expected to cool to 2.2% in October.
- Chinese October data showed mixed signals - retail sales beat expectations on Golden Week boost, but industrial production and fixed asset investment missed forecasts. Property investment decline deepened to -10.3% YTD.
- Donald Trump's election victory continues to impact markets, with concerns over potential trade war with China affecting regional sentiment. Trump has proposed 60% tariffs on Chinese imports.
- Wall Street futures declined after Powell warned strong economic data gives Fed more time before rate cuts. Markets now price only 61% chance of December cut, down from 85.7% yesterday.
- Bitcoin retreated from record highs, falling 2.6% to $87,634 after hitting $93,226 earlier this week with Ethereum trading at $3060.
- Dollar held near one-year highs while Treasury yields rose as markets scaled back rate cut expectations. USDJPY crossed 156 after weak Japanese GDP data raised dovish BOJ bets.
- Oil prices declined with Brent at $71.91 and WTI at $68.08, set for weekly losses of 2.7% and 3.3% respectively. IEA warned of 2025 supply glut despite maintaining demand forecasts.
- Gold steadied at $2,566 but headed for worst week since June 2021, down 4.3% as Trump victory and strong U.S. data dampened safe-haven demand.
- Eli Lilly sued federal Health Resources and Services Administration over 340B drug discount program changes, following similar action by Johnson & Johnson.
- Key events ahead: UK Q3 GDP, U.S. retail sales data, speeches from Fed's Collins, ECB's McCaul and Riksbank's Thedeen. Netflix streams Tyson vs Paul boxing match tonight.
- Trade data showed Indonesia's exports rose 10.25% YoY in October on strong agriculture shipments, while Malaysia's Q3 GDP grew 5.3% YoY, matching estimates but down from Q2's 5.9%.
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