Japan Consumer Confidence Increases in September

News Event

From Trading Economics: Consumer confidence in Japan rose to 43.0 in September of 2016 from 42.0 in August and beating market expectations of 41.8. It was the highest reading since September 2013 as perception improved for all categories: overall livelihood (+1.1 points to 42.0), income growth (+0.2 to 41.1), employment (+1.7 to 46.2) and willingness to buy durable goods (+1.0 to 42.5). In September 2015, consumer sentiment stood at 40.6 Consumer Confidence in Japan averaged 42.13 from 1982 until 2016, reaching an all-time high of 50.80 in December of 1988 and a record low of 27.40 in January of 2009. Consumer Confidence in Japan is reported by the Cabinet Office, Japan.

Market Snap

Market Opening Wrap

In Asian Equity Markets stocks shrugged off a sluggish start and pushed higher on Tuesday, with Japanese markets leading the way after an upbeat U.S. manufacturing survey bolstered the dollar. Australian stocks fell 0.2 percent after Australia's central bank kept its cash rate steady at 1.5 percent on Tuesday. MSCI's broadest index of Asia-Pacific stocks outside Japan was up 0.2 percent, while Japan's Nikkei stock index  gained 0.8 percent as the dollar rose against the yen. The broader Topix advanced 0.6 percent to 1,339.00 and the JPX-Nikkei Index 400 rose 0.6 percent to 11,991.10. Markets in China are on holiday this week.

In Currency Markets the dollar rose against the yen and euro on Tuesday, boosted by an upbeat U.S. manufacturing sector survey, while the pound wallowed near a three-decade low on concerns over a potential "hard Brexit" for Britain. The dollar added to overnight gains and was up 0.5 percent at 102.170 yen after touching a 13-day high of 102.395. The euro fell 0.1 percent to $1.1201. Sterling was down 0.1 percent at $1.2829 after falling on Monday to $1.2818. The RBA kept its cash rate at a record low of 1.5 percent as Australia's biggest-ever boom in apartment-building has helped support economic activity. The Aussie was effectively flat at $0.7671, little changed from levels seen prior to the RBA rates announcement.

In Commodities Markets oil prices fell early on Tuesday, weighed down by a rise in Iranian exports that adds to a global supply overhang, although a planned OPEC-led supply cut later this year has lent crude some support. International Brent crude oil futures were trading at $50.79 per barrel, down 10 cents from their previous close. U.S. West Texas Intermediate crude was down 15 cents at $48.66 a barrel. Spot gold edged down nearly 0.2 percent to $1,309.45 an ounce. Silver fell to as low as $18.68 an ounce, which matched the two-week low hit in the previous session, though it was trading up 0.4 percent at $18.81. Platinum fell to $996.95 an ounce, its lowest since June 30. Palladium was down 0.4 percent to $708.35.

In US Equity Markets the fourth quarter got off to a weak start for U.S. stock investors on Monday, with financials, consumer staples and utilities pulling the S&P 500 lower. The Dow Jones industrial average fell 0.3 percent to end the session at 18,253.85 points and the S&P 500  lost 0.33 percent to 2,161.2. The Nasdaq Composite fell 0.21 percent to 5,300.87 points. The S&P 500 financial index declined 0.43 percent as Wells Fargo fell 1.02 percent to its lowest since December 2013. Tesla Motors jumped 4.74 percent after the electric carmaker said third-quarter deliveries rose by 70 percent to 24,500 cars. Cabela's rose 15.02 percent after the retailer said it would be acquired by Bass Pro Shops in a deal valued at about $5.5 billion.

In Bond Markets Japanese Government Bond prices pared most losses on Tuesday after the auction of a 2.4 trillion yen ($23.5 billion) 10-year JGBs drew solid demand. The 10-year yield rose to as high as minus 0.055 percent before the auction but fell to minus 0.070 percent, up just 0.5 basis point on the day. The 30-year yield rose 0.5 basis point to 0.455 percent while the five-year yield rose 1.5 basis point to minus 0.220 percent. The two-year yield rose 1.0 basis point to minus 0.270 percent.

Source: Institute of Trading and Portfolio Management