New Zealand raises interest rates by 50 basis points to 4.75%
New Zealand’s central bank has raised interest rates by 50 basis points from 4.25% to 4.75, in line with economists expectations.
In a release, the Reserve Bank of New Zealand indicated that interest rates could still rise, to ensure inflation returns to its target range over the medium term.
“While there are early signs of price pressure easing, core consumer price inflation remains too high, employment is still beyond its maximum sustainable level, and near-term inflation expectations remain elevated,” the bank said.
Following the announcement, the New Zealand dollar strengthened against the U.S. dollar to trade at 0.622.
— Lim Hui Jie
Australia’s wage price index misses expectations
Australia’s wage price index rose by 3.3%, missing estimates in a Reuters poll, which expected to see growth of 3.5% on an annualized basis.
Compared to the previous quarter, the wage price index rose by 0.8%, also below expectations for a 1% growth.
Private sector’s wage prices gained by 0.8% and the public sector rose by 0.7%, the release said.
– Jihye Lee
Singapore Airlines posts record operating profit for fourth quarter of 2022
Singapore Airlines reported a record operating profit of $755 million for the period between October – December 2022, 11.4% higher than the previous quarter.
In a business update, SIA reported revenue for the quarter came in at $4.85 billion, 8% higher than the quarter before.
Net profit stood at $628 million, compared with $556.5 million the previous quarter.
SIA said group passenger capacity reached 80% of pre-Covid levels, and expects strong momentum in forward passenger sales for the first quarter of 2023.
But it also warned that weaker global demand and increased capacity will weigh on its air freight segment.
— Lim Hui Jie
CNBC Pro: Wall Street loves Alibaba right now. Here’s what to expect from the tech giant’s earnings
Alibaba is a Wall Street favorite when it comes to playing the Chinese tech sector and the country’s Covid-19 reopening.
It is rated “buy” by almost all analysts — 93% — covering it, according to FactSet. They give it average potential upside of 43%.
The tech giant is due to report its earnings for the December quarter on Thursday. Here’s what Wall Street is expecting.
— Zavier Ong
CNBC Pro: Buffett-backed BYD and more: Analysts name top ‘climate stocks,’ giving one 100% upside
Energy storage and the future of transport are two of the “most attractive” climate themes to invest in right now, according to HSBC analysts.
The bank named buy-rated stocks under both of these themes which have among the highest upside to its price targets.
CNBC Pro subscribers can read more here.
— Weizhen Tan
Japan’s producer prices index rises 1.6% in January
Japan’s producer prices index rose 1.6% on an annualized basis, slightly higher than December’s figure of 1.5%.
This puts the index at 107.4, slightly lower than 107.7 in December, and is the first monthly drop since August 2022.
The PPI measures the average movements of prices received by domestic producers for goods and services sold.
The yen weakened marginally after the announcement to trade against the US dollar at 134.92.
— Lim Hui Jie
Chinese tech stocks tumble
U.S.-listed Chinese technology stocks plummeted on Tuesday.
The pullback in shares came amid news that e-commerce company JD.com is reportedly launching a subsidy program to counter its rival Pinduoduo. Shares of both stocks shed more than 11% and 9%, respectively, during afternoon trading.
Others China tech stocks stumbled, including Alibaba, last down 5%. The KraneShares CSI China Internet ETF was last down more than 3%.
— Samantha Subin
Yields reach highest levels in three months
U.S. Treasury yields moved past Friday’s highs, hitting their highest levels since November.
The 2-year rate, which is the most sensitive to Fed policy changes, hit a high of 4.725% — a level not seen since Nov. 8, when it reached 4.741%.
The benchmark 10-year rate, meanwhile, rose as high as 3.951%. That’s its highest level going back to Nov. 10, when it climbed to 4.117%.
At 10:22 a.m. ET, the yield on the 2-year Treasury was up 8 basis points at 4.705%.The 5-year Treasury and 10-year Treasury also reached 3-month highs, with yields at 4.142% and 3.927%, respectively.
— Hakyung Kim
Source link: https://www.cnbc.com/2023/02/22/asia-markets-interest-rates-hong-kong-gdp-japan-australia.html