China economy hopes give world stocks a boost, Fed nerves remain



*

Hong Kong, China stocks at 3-mth highs

*

Dollar, oil steady

*

U.S. PPI inflation data later on Friday

By Carolyn Cohn and Stella Qiu

LONDON/SYDNEY, Dec 9 (Reuters) - World stocks rose on Friday on expectations China's economy would strengthen as COVID-19 curbs ease, but stocks were heading for a 2% weekly loss in nervy markets ahead of the Federal Reserve's policy meeting next week.

U.S. S&P futures ESc1 were up 0.18%, while European stocks .STOXX were steady.

China's Premier Li Keqiang, in comments carried by state media, said on Thursday the country's shift in COVID-19 policy would allow the economy to pick up pace, a day after a top-level party meeting pledged to focus on stabilising growth while optimising pandemic measures.

Fed policymakers meet next week and are likely to announce a 50 basis point hike in the U.S. central bank's lending rate, while indicating a slower pace of future rate hikes.

"The market is very much focused on what the Fed is going to do on Wednesday, no one wants to take on any big positions," said Giles Coghlan, chief currency analyst at HYCM, though he added that Chinese stocks were helped by the fact that China had "made that COVID pivot".

The MSCI world equity index .MIWD00000PUS rose 0.22%, while MSCI's broadest index of Asia-Pacific shares outside Japan gained 1.2% .MIAPJ0000PUS , edging closer to a three-month high hit earlier in the week.

Japan's Nikkei .N225 climbed 1.2%. Britain's FTSE .FTSE lost 0.2% to an 11-day low, hurt by energy stocks .

Hong Kong's Hang Seng index .HSI jumped 2.3% to three-month highs, with mainland developers .HSMPI up a whopping 9.9% to a four-month high. Chinese blue chips .CSI300 rose 1% to their highest in nearly three months.

The world's largest investment banks expect global economic growth to slow further in 2023 following a year roiled by the Ukraine conflict and soaring inflation, which triggered one of the fastest monetary policy tightening cycles in recent times.

The U.S. producer price index for final demand is forecast later on Friday to show a rise of 7.2% in the 12 months through October, down from 8% last month, ahead of closely-watched consumer price inflation data next week.

University of Michigan sentiment data is also due later on Friday.

Data on Thursday showed some loosening in the U.S. labour market, with weekly jobless claims rising moderately.

Futures have priced in a near-certain possibility that the Fed will slow down its rate hike to 50 basis points next week, but the target U.S. federal funds rate would have to peak around 4.9% by next May. FEDWATCH

"This slowing is not a signal that the central bank's job is nearly done...the slower pace of hikes starts a new phase of the Fed's tightening cycle," said Brian Martin, head of G3 economics at ANZ.

"With inflation proving sticky and the labour market still buoyant, the risks to our 5.00% terminal view are to the topside."

In addition to the Fed, the European Central Bank and the Bank of England are also set to announce interest rate decisions next week as policymakers continue to tap the brakes on economic growth through firmer rates to thwart stubbornly high inflation.

The U.S. dollar =USD was steady against a basket of major currencies on Friday. It weakened 0.3% against the Japanese yen to 136.28 yen.

The euro EUR= was flat against the greenback at $1.0557, below a recent five-month high of $1.0594.

The yield on benchmark 10-year Treasury notes US10YT=RR eased 2 basis points to 3.4760%. The two-year yield US2YT=RR weakened 3 bps to 4.28%.

Treasury yields fell to the lowest in three years earlier in the week on expectations of slower growth or that a recession will curb the rise in U.S. rates.

German 10-year government bond yields DE10YT=RR , the benchmark for the euro zone, gained 3 bps to 1.85%.

Commodity prices rallied, with prices for iron ore DCIOcv1 surging 4.7% to the highest in six months amid hopes of improved demand from China.

Oil was steady as closure of a major Canada-to-U.S. crude pipeline disrupted supplies, but both benchmarks were heading for a weekly loss on worries over slowing global demand growth.

U.S. West Texas Intermediate (WTI) crude futures CLc1 dipped 0.1% to $71.43 per barrel, while Brent crude LCOc1 was steady at $76.09 a barrel.

Spot gold XAU= rose 0.1% to $1791.59 per ounce.



Asia stock markets Link
Asia-Pacific valuations Link



Editing by Jacqueline Wong, Kim Coghill and Simon
Cameron-Moore



Descargo de responsabilidades: Cada una de las entidades de XM Group proporciona un servicio de solo ejecución y acceso a nuestra plataforma de trading online, permitiendo a una persona ver o usar el contenido disponible en o a través del sitio web, sin intención de cambiarlo ni ampliarlo. Dicho acceso y uso están sujetos en todo momento a: (i) Términos y Condiciones; (ii) Advertencias de riesgo; y (iii) Descargo completo de responsabilidades. Por lo tanto, dicho contenido se proporciona exclusivamente como información general. En particular, por favor tenga en cuenta que, los contenidos de nuestra plataforma de trading online no son ni solicitud ni una oferta para entrar a realizar transacciones en los mercados financieros. Operar en cualquier mercado financiero implica un nivel de riesgo significativo para su capital.

Todo el material publicado en nuestra plataforma de trading online tiene únicamente fines educativos/informativos y no contiene –y no debe considerarse que contenga– asesoramiento ni recomendaciones financieras, tributarias o de inversión, ni un registro de nuestros precios de trading, ni una oferta ni solicitud de transacción con instrumentos financieros ni promociones financieras no solicitadas.

Cualquier contenido de terceros, así como el contenido preparado por XM, como por ejemplo opiniones, noticias, investigaciones, análisis, precios, otras informaciones o enlaces a sitios de terceros que figuran en este sitio web se proporcionan “tal cual”, como comentarios generales del mercado y no constituyen un asesoramiento en materia de inversión. En la medida en que cualquier contenido se interprete como investigación de inversión, usted debe tener en cuenta y aceptar que dicho contenido no fue concebido ni elaborado de acuerdo con los requisitos legales diseñados para promover la independencia en materia de investigación de inversiones y, por tanto, se considera como una comunicación comercial en virtud de las leyes y regulaciones pertinentes. Por favor, asegúrese de haber leído y comprendido nuestro Aviso sobre investigación de inversión no independiente y advertencia de riesgo en relación con la información anterior, al que se puede acceder aquí.

Utilizamos cookies para ofrecerle una mejor experiencia en nuestra web. Conozca más o cambie sus ajustes de cookies.

Advertencia de riesgo: Los CFD son un producto difícil de comprender y la CNMV cree que no es adecuado para inversores minoristas dada su complejidad y riesgo. Por favor, lea y asegúrese de que comprende completamente nuestra Declaración de riesgos.