Hong Kong’s benchmark share index dropped more than 4% as investors contended with the delayed release of China’s economic growth data and the conclusion of the party congress in Beijing, which saw Xi Jinping tighten hisEquities were higher in Japan, South Korea and Australia while US futures advanced after stocks on Wall Street had their best week since June.
The pound lost most of an earlier spike higher that came as Boris Johnson pulled out of the race to lead the UK’s ruling Conservative Party, putting Rishi Sunak closer to becoming the next prime minister. That’s providing support amid headwinds from the war in Ukraine to risks from China. The outcome Sunday of the party congress in Beijing suggests Xi’s Covid-zero campaign will continue to slow the economy and has also fueled speculation that his “common prosperity” goal may even lead to property and inheritance taxes.
The S&P 500 jumped 2.4% on Friday amid an increase in appetite for bullish US equity wagers following an equity rout that’s alreadyTen-year Treasury yields fell further on Monday, to below 4.20%, after reversing a surge on Friday. Yields also opened lower in Australia, led by the policy-sensitive three-year maturity.