Market Wrap: 1st February 2023

Market Wrap: 1st February 2023

Asian Stocks Rise, US Futures Waver Before Fed: 

  • Benchmarks in Australia, Japan rise but fluctuate in Hong Kong
  • Nasdaq 100 advances 1.6% to close best January since 2001


Stocks in Asia advanced after US shares ended January on a high note as signs of cooling inflation encouraged risk appetite ahead of the Federal Reserve’s Wednesday meeting. 

Benchmarks in Australia and Japan rose while gauges in Hong Kong and mainland China fluctuated. Contracts for the S&P 500 fell after the index climbed 1.5% Tuesday. Nasdaq 100 futures also eased lower after the tech-heavy benchmark rallied 1.6% to cap its best month since July and strongest start to a year since 2001.

The drop for US futures followed a series of corporate earnings reports after US markets closed that included a disappointing outlook from Electronic Arts Inc. and the first-ever forecast revenue decline for Snap Inc.

Contracts for the Nifty 50 index of Indian blue chips also rose. Investors will be focused on Adani Enterprises Ltd., a member of the benchmark, which successfully raised $2.5 billion in a closely watched follow-on equity sale Tuesday. The transaction provides some relief for Gautam Adani after fraud allegations by short seller Hindenburg Research.

Australian and New Zealand yields fell and a rally in Treasuries steadied after the 10-year yield dropped three basis points Tuesday. An index of the dollar traded flat and the yen strengthened. 



LGains for US stocks were helped along by wage cost data that undershot forecasts. Separate figures showed the US housing market continued to cool. Another report highlighted consumer confidence unexpectedly falling.


The encouraging signs indicate the Fed’s rate hikes over the past year have begun to curtail inflation. The central bank is set to unveil a 25 basis point rate increase Wednesday and investors will be keenly parsing Fed Chair Jerome Powell’s comments for signs the tightening cycle may soon pause. 

“We’re getting closer to the terminal rate,” Sassan Ghahramani, chief executive of SGH Macro Advisors, said in an interview with Bloomberg Television. “Data that has come out does not justify 50 basis point hikes. If anything, I’d say it’s virtually a 100% certainty they do 25.”

Fourth-quarter earnings on Tuesday in the US were mixed. McDonald’s Corp. and Caterpillar Inc. fell short of profit estimates while General Motors Co. and Exxon Mobil Corp. outpaced forecasts with the oil major posting its highest ever full-year profit.




Trade the global markets with a broker that has integrity, honesty and transparency at its core


Market Wrap: 24 August 2023

Stocks Rally on Tech Optimism, Fed Rate Outlook:  Lackluster US, Europe economic data opens door for rate pause Nvidia’s bullish sales outlook prompts after-hours stock

Read More »

Market Wrap: 15 August 2023

Yuan Falls on PBOC Rate Cuts; Asian Stocks Mixed:  Japan’s economy shows resilience as growth beats estimates Economic woes mount in China as post-pandemic recovery

Read More »

Market Wrap: 11 August 2023

China Tech Pulls Asian Stocks Lower; Dollar Steady:  US core CPI posts smallest back-to-back increases in two years Daly says Fed has ‘more work to

Read More »

Market Wrap: 31 July 2023

Asian Stocks Echo US Rally on Soft Landing Hopes:  Yen declines after unscheduled Bank of Japan bond buying China manufacturing PMI data shows contraction in

Read More »

Market Wrap: 27 July 2023

Stocks Rise, Dollar Slips as Rates Peak in Sight:  ECB will raise rates by another quarter-point, survey shows US data Thursday include GDP, initial jobless

Read More »

This website is owned and operated by the Ox Securities group of companies, which include:
Ox Securities Pty Ltd registered address Level 37, 1 Macquarie Place, Sydney NSW 2000 Australia. AFSL 438402 ACN 163 551 602
Ox Securities Limited (SV) registered address Suite 305, Griffith Corporate Centre, Beachmont, Kingstown, St Vincent and the Grenadines
Risk Warning: The information contained on this website is general in nature and does not constitute advice or a recommendation to act upon the information or an offer. The information on this website does not take into account your personal objectives, circumstances, financial situations or needs. You are strongly recommended to seek independent professional advice before opening an account with us and/or acquiring our services/products. Ox Securities Limited (SV) do not accept applications from residents of the United States of America and Australia
Before you decide whether or not to invest any products referred to on this website, being over the counter (OTC) derivatives, it is important for you to read and consider our Financial Services Guide (FSG), Product Disclosure Statement (PDS), and Terms and Conditions (T&C), and ensure that you fully understand the risks involved. Fees, charges and commissions apply. OTC derivatives, including margin foreign exchange contracts and contract for differences, are leveraged products that carry a high level of risk to your capital. Trading is not suitable for everyone. You may incur losses that are substantially greater than your initial investment. You do not own, or have any rights to, the underlying assets which the OTC derivative is referring to. You should only trade with money you can afford to lose. There are also risks associated with online trading including, but not limited to, hardware and/or software failures, and disruptions to communication systems and internet connectivity.

Copyright © OxSecurities 2020. All rights reserved