Asia-Pacific shares traded mixed after losses on Wall Street

Indonesian and Indian currencies not benefiting from China’s reopening: ANZ

Unlike other emerging market currencies, both the Indonesian rupiah and the Indian rupee have not appreciated much. of China’s reopening, said Khoon Goh, head of Asia research at ANZ Bank.

Those currencies “lagged the moves … because both of these economies don’t look like big beneficiaries of China’s reopening,” Goh told CNBC’s “Street Signs Asia” on Thursday.

He added that Chinese tourists do not contribute much to the overall growth of India and Indonesia.

On the flipside, Goh said the Thai baht has been the strongest currency in Asia so far this year, and the Singapore dollar is one of his top recommendations for 2023.

– Charmaine Jacob

Asia-Pacific currencies mixed, Australian dollar weakens

Currencies across Asia-Pacific strengthened on Thursday afternoon, a day after the Bank of Japan announced it was keeping its yield curve controls unchanged.

The Japanese yen It continued to strengthen further by 0.8% and last traded at 127.89 against the US dollar.

The Korea won It also strengthened about 0.4% after the country announced plans to scrap the mandatory registration process for foreign equity investors, seen to further encourage foreign investment.

The Australian dollar, meanwhile, weakened more than 0.7% after weaker-than-expected jobs data, signaling the central bank’s interest rate hikes may be slowing as the labor market worsens.

China’s reopening is a boon for Asia’s growth prospects, says Aberdeen

According to James Thom, chief investment officer at Aberdeen Standard Investments, the outlook for Asia is more promising this year, thanks in part to China’s sudden reopening.

“Given all the global concerns and issues, there’s a lot to worry about. But I feel like Asia is getting a little bit better. The outlook is getting a little bit better at the beginning of this year,” he said. CNBC’s “Street Signs of Asia” Thursday.

“Obviously, China’s reopening is a huge swing factor that few expected or expected, and it will be a real boon for growth and supportive for the markets,” Tom said.

He also emphasized that “the weakening of the US dollar is generally beneficial for Asian markets again.”

– Sumathi Bala

Cryptocurrencies trade lower after Genesis plans to file for bankruptcy

Cryptocurrencies have fallen as Genesis prepares to file for bankruptcy, according to Bloomberg, citing sources close to the matter.

Bitcoin fell 2.51% to $20,742.39, according to Coin Metrics. Ether fell 3.66% to $1,522.93.

As of last week, Genesis, along with Gemini, were indicted by the Securities and Exchange Commission for allegedly selling unregistered securities in connection with a high-yield product offered to depositors.

Earlier this month, Genesis cut 30% of its workforce.

– Lee Yingshan

CNBC Pro: Veteran investor says ‘tech is dead,’ names safer stocks to weather ‘current storm’

After a dodgy 2022, some investors are returning to tech, but investment veteran Michael Landsberg is missing out on the sector.

He favors safer sectors and shares the names of five companies he expects to emerge from the “current storm.”

Pro subscribers can read more here.

– Xavier Ong

Oil prices surged above a dollar as recession worries grew

Oil prices fell more than a dollar after a disappointing retail sales report raised fears of a US recession.

Brent oil futures fell 1.21% or $1.03 to $83.95 a barrel, while US West Texas Intermediate futures fell 1.38% or $1.10 to $78.38 a barrel.

US retail sales fell 1.1% in December, slightly more than the 1% forecast.

– Lee Yingshan

Australia’s unemployment rate remains high, but jobs are taking a hit

Australia’s unemployment rate rose to 3.5% in December, slightly beating Reuters expectations for a 48-year low of 3.4%.

This figure compares with an unemployment rate of 3.4% for November.

However, employment figures for December fell to 14,600, completely missing expectations for a gain of 22,500 for November and a gain of 64,000.

– Lee Yingshan

CNBC Pro: Morgan Stanley’s Slimmon says stocks will ‘surprise’ Wall Street in 2023, names two he likes

Investment veteran Andrew Slimmon said he believes stocks will do “better” this year than many expected.

“I’m not so sure about the second half of this year, but I think the surprise is that the stock market will do better than what was almost universally predicted by many sell-side strategists earlier this year. ,” Slimmon, senior portfolio manager at Morgan Stanley Investment Management, told CNBC’s “Squawk Box Asia” on Friday.

He also named two of his favorite stocks.

Pro subscribers can read more here.

– Xavier Ong

Japan reports trade deficit for December

According to official data, Japan recorded a trade deficit of 1.45 trillion yen ($11.27 billion) for December.

Japan’s December imports rose 20.6% from a year earlier, slightly below the 22.4% Reuters had expected. Its exports rose 11.5% year-on-year, compared to the forecast of 10.1%.

The reading would close the entire one-year trade deficit for Japan.

– Lee Yingshan

CNBC Pro: 2023 will be tough — but this ‘exceptional’ stock is very solid, says fund manager

Many investors are bracing themselves for a tough year ahead, with at least a mild recession likely.

Because of the “darkening” economic environment, fund manager Trent Masters of Alphinity Investment Management told CNBC Pro Talks that he’s picking stocks based on one key quality: earnings consistency.

He names a “rocky” stock that meets this criteria.

CNBC Pro subscribers can read more here.

– Weizhen Tan

Stocks end lower on Wednesday

All major averages were down on Wednesday.

The Dow Jones Industrial Average fell 613.89 points, or 1.81%. The S&P 500 lost 1.56% and the Nasdaq Composite lost 1.24%.

– Tanaya Macheel

Fed’s Mester Says We ‘Must Continue’ With Rate Hikes

Cleveland Federal Reserve President Loretta Mester said Wednesday that interest rates should continue to rise despite the softening of recent inflation indicators.

In an interview with the Associated Press, the policymaker said that the Fed would likely need to raise its benchmark interest rate above 5% in order for inflation to consistently fall to the central bank’s 2% target. He noted that the markets and the economy accepted the half-point interest rate increase in December without any problems.

“I think we should continue and we will discuss [Jan. 31-Feb. 1] Mester said how much work he had to do in any particular session. “But my projections and my view of the economy is that we need to do more, get above 5% and then keep it there for a while. stabilize inflation expectations very well at 2% … and inflation is on that downward path.”

The Fed funds rate is currently targeted at 4.25-4.5%.

– Jeff Cox

Holiday sales data misses expectations

Holiday sales were lighter than expected for 2022, according to data from the National Retail Federation.

The industry group said sales rose 5.3% year-on-year in November and December. The NRF had forecast growth between 6% and 8%.

The data does not include spending at car dealerships, gas stations and restaurants. Sales figures are not adjusted for inflation.

– Jesse Pound, Melissa Repko

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