On Wednesday (14 October, 9:33 AM, GMT+7, Bangkok time), major indices in the Asia-Pacific traded mixed as participants awaited critical U.S. inflation data expected to influence the Federal Reserve’s interest rate trajectory. Attention remained focused on inflation due to fears that persistent strength in oil prices might sustain upward pressure on prices.
Remarks from New York Fed President John Williams indicated that further monetary tightening is not anticipated in 2027, though he still views one additional rate increase as suitable for the current year—contributing to a modest easing of concerns ahead of the U.S. CPI release, with forecasts compiled by Dow Jones expecting annual inflation to be 3.6%, an uptick from the prior 3.4% reading.
Quarterly results from major U.S. banks indicated solid performance; however, shares of Goldman Sachs and Citigroup declined, reflecting a more demanding investor environment. Markets appear to be setting tougher standards for third-quarter earnings, particularly for technology firms, with the semiconductor sector positioned as a key driver.
FactSet forecasts point to a blended earnings growth rate near 30% for S&P 500 constituents, with semiconductors and associated equipment expected to post gains of approximately 130% year-over-year.
In China, inflation data revealed significant increases for September. The producer price index advanced by 5% compared to a year ago, exceeding the 4.5% rise expected by surveyed economists and marking the fastest pace in more than four years.
Consumer prices gained 0.9% year-on-year, slightly below projections of 1% but ahead of the previous month’s 0.8%. These inflation prints arrive at a time when China’s economy continues to face notable headwinds, with second-quarter GDP growth undershooting expectations at 4.3%.
Japan’s NIKKEI rose by 0.47% to 68,098.11. South Korea’s KOSPI grew by 1.43% to 6,121.70, while Australia’s ASX 200 dropped by 0.92% to 8,703.40.
Shanghai’s SSEC increased by 0.13% to 3,805.67. Hong Kong’s HSI climbed by 0.01% to 24,347.08, while Shenzhen’s SZI fell by 0.35% to 12,310.61.
The U.S. stock markets edged down on Tuesday as the Dow Jones Industrial Average (DJIA) contracted by 0.35% to 51,670.10. NASDAQ lost 0.15% to 27,204.38, and S&P 500 slid by 0.02% to 7,805.45. VIX added 0.39% to 15.27.
As for commodities, oil prices showed a mixed movement on Tuesday as optimism about a potential U.S.-Russia diesel agreement offset concerns brought by recent strikes in Saudi Arabia and Yemen. Brent crude declined by 96 cents, closing at $105.69 per barrel, representing a 0.9% loss. U.S. West Texas Intermediate crude advanced 40 cents, or 0.4%, finishing the session at $94.14 per barrel.
This morning, Brent futures surged 82 cents, or 0.78%, to $106.51 per barrel, and WTI futures gained 70 cents, or 0.74%, to $94.84 per barrel.
Meanwhile, gold futures advanced by 0.15% to $4,183.60 per Troy ounce.
