GLOBAL NEWS
Indian stocks and bonds rallied on Wednesday after the government moved quickly to calm markets and appoint a new central bank governor whose predecessor quit after a months-long tussle over policy.The appointment of ex-finance ministry official Shaktikanta Das on Tuesday as the new Reserve Bank of India governor came just a day after Urjit Patel resigned from the post following clashes with the government, which wants more economy boosting measures ahead of a general election.The rupee weakened slightly, however, in response to a sharp rise in global crude oil prices which threatens to aggravate India’s current account deficit.The partially convertible rupee was trading at 72.03 per dollar versus its previous close of 71.84, after initially dropping to a low of 72.20 at the open.
The dollar held near a one-month high against its peers on Wednesday, supported by a rebound in U.S. government bond yields and weakness of the pound as its battering from uncertainty about Brexit continued.The greenback was lifted as long-term U.S. Treasury yields bounced from three-month lows. [US/]The dollar index .DXY versus a basket of six major currencies stood at 97.387 after rising overnight to 97.545, its highest since Nov. 13.
President Donald Trump said on Tuesday it would be a mistake if the Federal Reserve raises interest rates when it meets next week, as it is expected to do, continuing his criticism of the U.S. central bank
Economists have downgraded the outlook for Singapore’s 2019 growth rate for the second time in three months, a quarterly poll released by its central bank on Wednesday showed.The economists expect Singapore - seen as a bellwether for the global economy because its exports equate to around 200 percent of its output - to have growth of 2.6 percent in 2019, compared with an estimated 3.3 percent this year.
Asian stock markets rallied on Wednesday as U.S. President Donald trump sounded upbeat about a trade deal with China, while sterling struggled with the risk of an imminent party coup against British Prime Minister Theresa May.In an interview with Reuters, Trump said talks were taking place with Beijing by phone and he would not raise tariffs on Chinese imports until he was sure about a deal.
A top executive of Chinese telecoms giant Huawei Technologies Co Ltd was granted bail by a Canadian court on Tuesday, 10 days after her arrest in Vancouver at the request of U.S. authorities sparked a diplomatic dispute,Meng Wanzhou, Huawei’s [HWT.UL] chief financial officer and the daughter of its founder, faces U.S. claims that she misled multinational banks about Iran-linked transactions, putting the banks at risk of violating U.S. sanctions.
Trump told Reuters in an interview that the Chinese government was “back in the market” to buy soybeans after a Dec. 1 truce in the U.S.-China trade war.But traders in Chicago said they have seen no evidence of a resumption of such purchases following China’s imposition of a 25 percent tariff on U.S. soybeans in July.Trump also said he believes China will soon cut tariffs on U.S. autos to 15 percent from the current 40 percent level.
An attempt to oust British Prime Minister Theresa May gathered pace on Tuesday, a day after her decision to delay a vote in parliament on her Brexit deal for fear of a rout angered many in her Conservative Party.With May on a tour of European capitals to try to secure “reassurances” to calm the crisis at home, the BBC and other media cited sources as saying the required number of letters from Conservative lawmakers calling for a no-confidence vote in her leadership of the party had been met.
Major cryptocurrencies slipped on Wednesday morning in Asia as a Singapore-based digital currency exchange operator, ABCC, called for more stringent regulations on the tokens.Bitcoin dropped 1.49% to $3,391.2 and Ethereum dived 2.08% to $87.81 at 10:45PM ET (02:45 GMT). edged down 0.12% to $87.81, while Litecoin fell 3.12% to $23.559.
Oil prices climbed by more than 1 percent on Wednesday amid a broad stock market rebound and on expectations that an OPEC-led output cut for 2019 would stabilize the supply-demand balance.Disruptions to Libyan oil exports after local militia seized the country’s biggest oil field, El Sharara, were also buoying prices, traders said.International Brent crude oil futures LCOc1 Were at $60.92 per barrel at 0454 GMT, up 72 cents, or 1.2 percent from their last close.U.S. West Texas Intermediate (WTI) crude futures CLc1 were at $52.29 per barrel, up 64 cents, or 1.2 percent.
Gold prices were firm on Wednesday, supported by expectations of fewer rate hikes by the U.S. Federal Reserve next year, while palladium traded at a premium to the yellow metal.Spot palladium was up 0.3 percent at $1,246.72 per ounce, as of 0441 GMT, having climbed 2 percent in the previous session after China agreed to cut tariffs on U.S.-built cars and auto parts to 15 percent from the current 40 percent. Spot gold was up 0.1 percent at $1,243.60 per ounce, while U.S. gold futures rose 0.2 percent to $1,249.8 per ounce.