Markets in China stabilized as Asian markets slumped; yen at 150 . levels

CNBC Pro: Goldman Sachs Says These Stocks Could Increasingly Survive a Possible Recession

“The overall picture is arguably more challenging than it has been for some time,” says Goldman Sachs, who favors the iron-on strategy in recession stress.

The bank has named several stocks rated as a buy that it believes could do well against the current overall background.

Professional subscribers can Read more here.

– Xavier Ong

South Korea’s trade deficit reached $4.95 billion in October so far

South Korea’s trade deficit widened for the first 20 days of October to $4.95 billion, data The customs agency showed, after recording a deficit of 4.1 billion dollars for the same period in September.

Exports from October 1 to October 20 fell 5.5% compared to a year ago, down from an 8.7% decline in September compared to the same period in 2021.

Imports rose 1.9% annually after rising 6.1% last month.

– Jie Lee

Early Trade: Where the Asia-Pacific Markets Started Today

The Nikkei 225 In Japan, it was down 0.24% in early trading and Topix lost 0.33%.

in Australia , S & P / ASX 200 It was down 0.68% in the second hour of trading.

South Korea Cosby The KOSDAQ Index is down 0.23% and the KOSDAQ Index is down 0.37%.

MSCI’s broadest index of Asia Pacific shares was down 0.43%.

– Abigail Ng

Japan’s core consumer prices rose 3% in September

essence inflation in Japan Government data showed a 3% rise in September from a year earlier. This is in line with analyst expectations and a slight increase compared to August’s 2.8% rise.

The core inflation index excludes volatile fresh foods, but includes fuel costs.

Headline inflation also came in at 3% in September, above the Bank of Japan’s target of 2% and the highest since September 2014.

Excluding fresh food and energy, core consumer prices rose 1.8% in September compared to the same period last year.

– Abigail Ng

CNBC Pro: Here’s what to invest in as returns soar again, say BlackRock and others

Yields are rising again, and it looks like the rate hike path will continue.

For investors, that means they must seize the opportunity now to put their money into bonds or Treasuries — especially those with shorter durations, analysts said this week.

Wells Fargo said investors should seize the rather short-lived nature of this opportunity now.

Read more here.

– Wizen Tan

Stocks drop for a second day

Stocks closed in the red on Thursday, but managed to close above session lows even as Treasury yields rose sharply in the afternoon. The Dow, S&P 500 and Nasdaq Composite are up more than 2% from the week even after two consecutive negative sessions.

– Jesse Pound

The bond market is terrified by market proof that the Fed will raise interest rates to 5% or more

The jump to 5% in May rocked Thursday’s Treasurys money futures, sending yields higher across the curve.

“The speed of this movement is the most shocking,” said Peter Bokfar of Bleakley Consulting Group. For example, file 10-year treasury bond yield It jumped to 4.22% Thursday afternoon, from a low of about 4% Wednesday morning.

Strategists said markets fear a more aggressive Fed, and the move in federal funds futures contracts to a 5% final interest rate rattled bond investors. The May contract set the final interest rate at 5.01% on Thursday afternoon.

The final interest rate is the level at which the Federal Reserve stops raising interest rates.

— Patty Doom

10-year treasury yield rises, becomes ‘unbound’

The benchmark 10-year Treasury yield came in at 4.22% on Thursday after jumping more than 20 basis points in two sessions.

The move was too rapid, Bond analysts say, and the 10 years should begin to find a stopping point. (Base point is 0.01 percentage point)

“I think 4% was reasonable,” said Michael Schumacher of Wells Fargo. “4.22% are unregistered. We don’t need 10 years to act like a meme stockpile. That’s not healthy.”

The yield, which moves with the opposite rate, was screaming loud on fears that the Federal Reserve would be more robust, and that central banks would stay tight ahead.

As long as returns continue to move stocks higher, they will be affected, said Garji Chaudhry, head of iShares investment strategy for BlackRock in the Americas.

Can we see another 25 [basis points] or so? I think maybe. “We have reached levels where we can peak but markets can stretch,” Chaudhry said. “The market is over-expanding but things are getting amplified for both sides…especially as we enter the remainder of the year and the quantitative tightening continues.”

Federal Reserve Fund futures rose, for the first time on Thursday, above 5% for the month of May, indicating that traders expect the Federal Reserve to raise the federal funds rate to this level before stopping. This helped push Treasury yields up the curve.

– Patty Doom

Sterling rebounds and gold yields fall as British Prime Minister Liz Truss resigns

Sterling was up 0.5% to trade at around $1.1214 early the next afternoon Liz Truss resigns UK Prime Minister. Government bonds also responded positively to the news, with 10-year Treasury yields down four basis points to 3.842%.

– Hannah Ward Glinton

British Prime Minister Liz Truss resigns

Liz Truss announced that she would resign as British Prime Minister as she was elected “with a mandate for change” but was unable to “implement that mandate”.

Read the The full story is here.

– Hannah Ward Glinton

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