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View of the central business district skyline at sunset in Beijing, China.
Sheng Peng | Visual China Group | Getty Images
Asia-Pacific markets are set to fall ahead of a week of inflation readings from across the region and South Korea's third-quarter gross domestic product numbers
Singapore and Australia will release inflation figures for September on Monday and Wednesday respectively, while Japan will release Tokyo's inflation numbers on Friday. Tokyo's inflation is considered a leading indicator of nationwide figures.
In Australia, the S&P/ASX 200 fell 0.93% in Monday morning trading, extending losses from last week and on pace for a third straight session of losses.
Japan's Nikkei 225 is also set for a weaker open, with the futures contract in Chicago at 31,080 and its counterpart in Osaka at 31,000 against the index's last close of 31,259.36.
Hong Kong's markets are closed for a holiday Monday.
On Friday in the U.S., all three major indexes retreated as a surge in the 10-year Treasury yield prompted broader concerns about the state of the economy.
Most notably, the yield on the benchmark 10-year Treasury crossed 5% for the first time in 16 years on Thursday.
The S&P 500 shed 1.26%, notching its first losing week in three, while the Nasdaq Composite dropped 1.53% The Dow Jones Industrial Average lost 0.86%.
— CNBC's Pia Singh and Alex Harring contributed to this report.
Fri, Oct 20 202312:50 PM EDT
Fed's Mester says interest rates are near their peak
Cleveland Federal Reserve President Loretta Mester said Friday she expects that interest rates likely won't be raised much more from here, if at all.
"Regardless of the decision made at our next meeting, if the economy evolves as anticipated, in my view, we are likely near or at a holding point on the funds rate as we accumulate more information on economic and financial developments and assess the effects of the tightening in financial conditions that has already occurred," Mester said in remarks delivered for a speech in New York.
The central bank official added that she agrees with Federal Open Market Committee estimate in September that another rate hike could come before the end of 2023, but noted that handicapping such moves is difficult now.
Mester is not a voting member of the FOMC this year but will vote in 2024.
—Jeff Cox
Fri, Oct 20 20239:21 AM EDT
Gold hits 3-month peak, on pace for second straight weekly gain
Gold climbed to a three-month peak on Friday, putting it on pace for a second straight weekly rise as fears of heightening conflict in the Middle East pushed investors towards safe-haven assets.
Gold is up 2.5% so far this week after gaining 5.22% last week. Spot gold was up 0.3% at $1,979.3 per ounce, after hitting its highest since July 20. U.S. gold futures added 0.5% to $1,991.4.
The VanEck Gold Miners ETF (GDX) is up 1.9% so far this week, on track for its first positive week in three. B2Gold, Barrick Gold and New Gold are all up about 5% or greater this week.
— Pia Singh, Gina Francolla
Fri, Oct 20 20232:31 PM EDT
S&P 500 drops below 200-day moving average
The S&P 500 slipped below its 200-day moving average of 4,233.25 for the first time since March 24. The index has not closed below the 200-day since March 17.
The S&P 500 fell below the key level of 4,233.25 in intraday trading Friday.
The index traded near the 200-day earlier this month, but appeared to bounce off the level. Such a move can sometimes be a positive sign for the market, but technical analysts were skeptical that the rally would have staying power.
— Jesse Pound, Gina Francolla
Fri, Oct 20 20232:51 PM EDT
Outflows seen from high-grade bond funds,
U.S. high-grade bond funds recorded $2.41 billion in outflows this past week ending Oct. 18, according to Bank of America. This marked a sharp reversal from the prior week, which recorded $2.08 billion in inflows. Credit strategist Yuri Selliger attributed the negative flows mostly to outflows from short-term high-grade bond funds.
High-yield bonds and global emerging market bonds also had outflows accelerate, with the two categories recording $1.84 billion and $2.16 billion in negative flows, respectively. Money markets reported a $101.12 billion outflow this week, sharply dropping from $8.33 billion in outflows from a week earlier.
Meanwhile, equity flows stayed nearly flat over the same period. Stocks recorded a $1.43 billion outflow.
— Hakyung Kim
English (US)