On the economic front, China’s official manufacturing Purchasing Managers’ Index for September came in at 49.6. A private survey on Chinese factory activity in September came in above expectations, with the Caixin/Markit manufacturing PMI for the month rising to 50 the month as compared with August’s reading 49.2.
Elsewhere in Japan, the Nikkei 225 slipped 0.2% while the Topix index declined 0.29%. On the political front, Japan is set for a new Prime Minister after Fumio Kishida won the governing party leadership election on Wednesday.
Meanwhile, the dollar index gained for the fourth day in a row. The US 10-year treasury yields fell slightly and are at the 1.513% mark in early trade today.
European indices closed higher on Wednesday with the DAX was up 0.77% reversing some of Tuesday’s losses. FTSE100 rose 1.14% after spending Tuesday in the red and the CAC40 gained 0.84% reversing some of Tuesday’s fall. The Stoxx600 rose for the first time this week, up 0.59%.
Further, USA stocks witnessed modest gain mostly, while a sustained rise in bond yield continued to weigh on rate-sensitive technology and growth stocks. Therefore, while Dow and S&P 500 recorded modest gains, tech-dominated Nasdaq extended losses.
Notably, Fed Chairman yesterday stated that elevated inflation and supply bottlenecks could last into the early part of 2022.