EQUITIES

Asia-Pacific markets mostly higher on Asian afternoon trade. Except for Australia’s S&P/ASX 200 that shed -0.08%, others gain. The South Korea’s KOSPI advanced 0.50%, Japan’s Nikkei 225 up 0.43%, Singapore’s Straits Times index rose 0.16%, Hang Seng index in Hong Kong at 0.72% higher and mainland Chinese stock also rose at 0.13%.

Overnight, The S&P 500 closed up 0.5% and the Dow Jones Industrial Average rose 0.6%. The Nasdaq ended up 0.2%, trailing with growth stocks under some pressure.

OIL

Oil prices higher, boosted by stimulus hopes, though it still headed for a modest weekly decline. Brent crude futures traded to $42.50 a barrel, while U.S. crude at $40.65.

On Wednesday, Brent closed at $42.46 per barrel, while WTI futures ended at $40.62 per barrel.

CURRENCIES

The dollar has lifted from Wednesday’s seven-week low against a basket of currencies, but still sits about 0.8% lower for the week, and last at 93.03.

The risk-sensitive Australian dollar inched 0.1% higher early on Friday and is about 0.7% firmer this week, with further gains capped by a growing expectation that the RBA will cut rates next month. The New Zealand dollar slipped 0.l% Friday after inflation data released. In offshore trade, the Chinese yuan hovered just short of a more than 2-year high hit earlier in the week.

GOLD

Spot gold currently trading at $1,906.50 per ounce, while stands around $1,908.90 per ounce for gold futures. Previously closed at $1,905.10 and $1,904.60, respectively.

Silver trading at $24.60, platinum trading at $878.00 and palladium trading at $2,278.00.

ECONOMIC OUTLOOK

Asian stocks were set for cautious gains on Friday after positive U.S. economic data and signs of progress in stimulus talks in Washington lifted Wall Street benchmarks. Investors also will monitor the final presidential debate analysis on Thursday night between Trump and Democratic challenger Joe Biden who is ahead in national polls.

U.S. jobless claims fell more than expected to 787,000, and existing home sales exceeded estimates to a 14-year high.

U.S. Speaker Nancy Pelosi reported progress in talks with the Trump administration for another round of financial aid and said legislation could be hammered out “pretty soon”. Pelosi and Treasury Secretary Steven Mnuchin have been negotiating a relief bill near the $2 trillion mark.

Japan’s CPI fell 0.3% in September YoY, data showed on Friday.

RBNZ core inflation at 1.7% in third quarter, unchanged versus the year-ago quarter.

The World Bank forecasted crude oil prices to average US44 a barrel in 2021, up from an estimated US$41 in 2020.

To date, number of confirmed worldwide cases for COVID-19 pandemic has surpassed 41.64 million affecting 213 countries and territories around the world and 2 international conveyances, recording more than 1.136 million fatality globally.

TECHNICAL OUTLOOK

[USDJPY]

Important Levels to Watch for Today:

- Resistance line of 105.070 and 105.263.

- Support line of 104.443 and 104.249.

Commentary/ Reason:

- Japanese yen ticked up on Friday after a final presidential debate, was up 0.1% to 104.73 per dollar.

- The dollar suffered its largest weekly drop against the yen in a month at 104.341.

- Japan and Britain formally signed a trade agreement on Friday in Tokyo, marking Britain’s first big post-Brexit deal on trade.