Morning wrap (14.10.2022)

• US indices finished yesterday's session sharply higher despite the hotter-than-expected US CPI data. The S&P 500 and Nasdaq rose 2.60% and 2.23%, respectively. Dow Jones and Russell 2000  closed higher, posting gains of 2.83% and 2.41%, respectively.

• Indices from Asia-Pacific traded higher today.  Nikkei  jumped 3.30% and Kospi ticked 2.15% higher while S&P/ASX 200 rose 1.70%. Indices from China also recorded gains.

• DAX futures point to a higher opening of the European cash session today

• China September CPI 2.8% y/y, in line with expectations

• PBoC Governor Yi says will accelerate implementation of prudent monetary policy

• BOJ Gov Kuroda said given Japan's economic and price conditions, increasing interest rates now would be wrong

• The lifespan cap on nuclear reactors in Japan may be lifted, according to local media.

• Twitter announced that Elon Musk is being investigated by federal authorities

• New Zealand finance minister Robertson said New Zealand needs to diversify trade away from China

• Export Prices in South Korea increased by 15.2% yoy and 3.2% mom, while import prices increased 24.1% yoy and 3.3% mom.

• Cryptocurrencies are trading higher today. Bitcoin rose 2.4% and approaches $19,800 mark while Ethereum adds 2.6% and tested $1,340 area

• Energy commodities are trading little changed. Brent trades around $94.60 and WTI is testing $88.00 level. 

• Precious metals are trading higher with gold and silver adding 0.2% and 0.70% respectively amid a weaker dollar. 

• AUD and NZD are the best performing major currencies while GBP and JPY lag the most

USDJPY continues to move higher as Japanese officials did not confirm, or deny, whether yesterday's sharp move was intervention. Pair is approaching the upper limit of the ascending channel, which manned to halt declines yesterday. Source: xStation5