ASIA:Moody’s Investors Service has downgraded the outlook for eight Chinese banks, including major institutions like Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, and China Construction Bank Corporation. This decision followed a similar downgrade of China’s government credit ratings. Additionally, Moody’s lowered Hong Kong’s outlook to negative due to strong political, institutional, economic, and financial connections with mainland China. The list of downgraded banks also includes China Development Bank, Agricultural Development Bank of China, Export-Import Bank of China, and Postal Savings Bank of China Co. These downgrades reflect concerns about China’s increasing debt levels and their potential impact on the country’s GDP growth, signaling uncertainties about the world’s second-largest economy.The major Asian stock markets had a mixed day today:

The major Asian currency markets had a mixed day today:

The above data was collected around 16:11 EST.Precious Metals:

The above data was collected around 16:11 EST.EUROPE/EMEA:Euro-area bond yields have recently fallen due to expectations of the European Central Bank implementing significant interest rate cuts next year. The market is pricing in a 25-basis point cut in March and anticipates a total of 150 basis points by 2024. However, this optimism may lead to disappointment for investors as it appears to be ahead of actual developments. German bunds are mirroring the yield decline of US Treasuries, with the latter experiencing a notable drop since mid-October. This decline in yields follows a global shift back into fixed income after a period of low interest in the asset class since April. Additionally, the weakening of the US dollar since early November has further fueled the rise in equities and bonds in the fourth quarter.The major Europe stock markets had a mixed day today:

The major Europe currency markets had a mixed day today:

The above data was collected around 16:14 EST.US/AMERICAS:This week is expected to be pivotal for central banks throughout the world. The US Federal Reserve will meet this week are the bank is largely expected to hold rates at 5.25%-5.50%. This will be followed by a “Super Thursday” involving the European Central Bank, Bank of England, and others. The markets are keen to decipher the banks’ statements for clues on potential rate cuts in early 2024, as inflation continues to decrease but at a slower than anticipated pace.US Market Closings:

Canada Market Closings:

Brazil Market Closing:

ENERGY:The oil markets had a mixed day today:

The above data was collected around 16:15 EST.

The above data was collected around 16:20 EST.BONDS:Japan 0.776% (+0.4bp), US 2’s 4.71% (-0.013%), US 10’s 4.2409% (-0.41bps); US 30’s 4.33% (+0.005%), Bunds 2.254% (-1.4bp), France 2.823% (-0.4bp), Italy 4.068% (+0bp), Turkey 23.83% (-35bp), Greece 3.457% (+0.4bp), Portugal 3.062% (+1.1bp); Spain 3.281% (-1.7bp) and UK Gilts 4.079% (+3.6bp)The above data was collected around 16:22 EST.More By This Author:Market Talk – Thursday, Dec. 7
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