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Market Movers: Indian Indices at record highs, USD strong – TDS

FXStreet (Barcelona) - Prashant Newnaha, Asia-Pacific Macro Strategist at TD Securities, summarizes the market performance in the Asian trade, noting that Indian equities rallied after RBI’s surprise repo rate cut, while USD remains strong against most crosses, and bond yields inching higher.

Key Quotes

“It was fairly quiet overnight with the CAD outperforming following Q4 GDP coming out a touch stronger (+0.3%/m vs +0.2%/m) and Q3 GDP being revised up (from 2.8% to 3.2%/yr) while the AUD held its post RBA ‘no cut’ rally."

“During the Asian session, the USD is up a little against all crosses with the exception of NZD (+0.05% to US$0.7555). AUD at US$0.7820.”

“Bond yields are grinding higher, with US 10yr yields up in Asia and ACGB and NZGB short end yields +5bps and 10yrs +7.5-8.5 bps.”

“Equities in Asia are generally softer, the NKY –0.5%, Shanghai –0.2%, ASX –0.5% with Indian stocks the only notable gainer, +1%, with the Sensex briefly breaking above 30,000 for the first time ever after the RBI cut rates in a pre-emptive move.”

“Mixed in commodities, gold up US$4 to US$1208, copper futures +0.3%, iron ore futures –0.3% and Brent futures –0.5%."

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