Your current location is:{Current column} >>Text
Marketmind: Waiting for China By Reuters
{Current column}441People have watched
Introduction© Reuters. Headquarters of the People's Bank of China (PBOC), the central bank, is pictured in Beiji ...

A look at the day ahead in markets from Sujata Rao.
Earlier this year, investors' fears of an aggressive Fed rate hike cycle were tempered by signs China was looking to ease policy. That would offset, at least partly, Fed tightening, the reasoning went.
Instead, Beijing has more or less sat on its hands, offering the odd pledge of policy support, as it did on Monday. Despite dismal economic data, it is not flinching at locking down swathes of cities against COVID, and it has not blocked the yuan's descent versus the dollar to 19-month lows.
Yuan https://fingfx.thomsonreuters.com/gfx/mkt/lgpdwgzgmvo/Pasted%20image%201652163983527.png
Aside from questions around how bad things might be inside the world's No. 2 economy, another risk, highlighted by long-standing China bull BlackRock (NYSE:BLK), is that of fresh tensions with the West around Beijing's tacit support for Russia. BlackRock said on Monday it had trimmed China exposure.
With economic growth concerns displacing inflation in markets' psyche as the biggest worry, the S&P 500 closed under 400 points for the first time in a year, oil is extending Monday's 5% fall and bond yields have slipped.
For Tuesday, an equity bounce may be on the cards, with U.S. futures tipping a firmer Wall Street session and European stocks are opening higher.
It could of course be all about technicals. Bearish S&P 500 positioning has been near record highs, Citi data shows, and at two-year highs for European blue chips. Having benefited from recent market falls, some bears may look to deploy those profits, Citi reckons.
Data just out shows UK shoppers cutting back on spending. and now the wait is on for Germany's ZEW investor sentiment index.
Later in the day, a raft of speeches from Fed officials will be perused to gauge whether 75 basis-point rate hike installments remain on the table. Or conversely, for any sign the Fed is taking note of economic growth worries.
Statement: The content of this article does not represent the views of FTI website. The content is for reference only and does not constitute investment suggestions. Investment is risky, so you should be careful in your choice! If it involves content, copyright and other issues, please contact us and we will make adjustments at the first time!
Tags:
Related articles
PacWest, Western Alliance shares slip as regional bank woes resume By
{Current column}-- Regional bank stocks in the U.S. dropped in early trading on Tuesday, putting them on course to e ...
Read moreIs Caravelle a legit or a scam? Caravelle Review
{Current column}FTI's top 100 forex brokers you can refer to for selection. If it is not in the top 100, you sho ...
Read moreIs Azul Capital a legit or a scam? Azul Capital Review
{Current column}FTI's top 100 forex brokers you can refer to for selection. If it is not in the top 100, you sho ...
Read more
Popular Articles
- Dow futures fall 35 pts; confidence fragile even as banking tensions ease By
- Exposed: Black
- Is TFX a legit or a scam? TFX Review
- PtahDao has locked funds and prevented users from withdrawing their money
- UK has bigger inflation problem than US or euro zone
- Is GlobiCap a legit or a scam? GlobiCap Review
Latest articles
-
US consumer spending appears solid early in second quarter By Reuters
-
The black platform BBI Trading is refusing to process withdrawals
-
The black platform Ultima Markets has been exposed for refusing to pay out profits
-
Hankotrade and Fyntura are both unsafe forex brokers, clients can't withdraw their funds
-
U.S. Republicans tee up debt
-
XM.com is not allowing withdrawals despite making profits