Here's our summary of key events overnight that affect New Zealand, with news markets are rising but the drivers are certainly not good data reports.
But first a reminder that it is the Presidents Day public holiday in the US and markets there are closed.
In Japan, machine orders inched lower in December as companies worldwide take a more caution stance in investment. Still, the result was not a bad as feared and this data helped the Tokyo stock exchange rise strongly yesterday.
Also rising strongly were equity markets in Hong Kong (+1.6%) and Shanghai (+2.7%). Rumors of a delay in the US tariff imposition on China bolstered sentiment.
However, in Singapore, they reported a sharp fall in exports. The overall fall was more than expected at -10% in January compared to the same month a year earlier and their largest drop in over two years. And it came after a healthy rise in December making the shift seem even more dramatic. The key driver was a -25% slump in their trade with China.
And in Europe, their Trade Commissioner has said the EU is ready to hit back 'hard' if the US unilaterally imposes punitive tariffs on EU cars.
And as a hard Brexit looms, major decisions are being taken. A major British political party has seen a splinter, major manufacturing closures are being readied in the UK, and banks are starting to move from London.
In Australia, the Americans have become the largest source country for foreign investment for the first time since 2013, surpassing China. Australian authorities approved more than 11,000 foreign investment applications involving AU$163 bln and mostly in the service sector. But among them, residential property investment fell by more than half to only AU$12.5 bln in the 2017/18 year.
The UST 10yr yield is holding at 2.66%. And their 2-10 curve is at +15 bps. The Australian Govt. 10yr yield is little-changed at 2.14%. The China Govt. 10yr yield is up +3 bps at 3.12%, while the New Zealand Govt. 10yr yield will open today at 2.24% and up +1 bp.
Gold is up another +US$4 at US$1,325/oz.
US oil prices are up marginally to just under US$56/bbl while the Brent benchmark is holding just under US$66.50/bbl.
The Kiwi dollar has pulled back slightly to 68.4 USc. On the cross rates we are also holding higher at 96 AUc, and off just a little at 60.5 euro cents. That settles the TWI-5 at 73.
Bitcoin is sharply higher at US$3,860 which is a +7.8% gain on the day. The American NASDAQ is adding some crypto indexes to its exchange. This rate is charted in the exchange rate set below.
The easiest place to stay up with event risk today is by following our Economic Calendar here ».