Asian shares buoyed by upbeat China factory activity, oil drops

Asian shares bounced off one-month lows on Monday helped by Chinese factory activity expanding at its fastest pace in a decade, while oil prices skidded as many Western countries slid back into coronavirus-driven lockdowns.

Asian Shares

  • MSCI’s broadest index of Asia-Pacific shares outside Japan (MIAPJ0000PUS) climbed 0.36%.
  • Australian shares (AXJO) rose 0.4%.
  • Japan’s Nikkei (N225) jumped 1.4%.
  • E-Mini futures for the S&P 500 (ESc1) added 0.2%, with investor focus turning to the U.S. presidential elections on Tuesday.

Currency Markets

  • In currencies, the risk-sensitive Australian dollar slipped 0.4% to go below 70 U.S. cents for the first time since July. It was last at $0.7002.
  • The Japanese yen was slightly higher at 104.73 per dollar, while the British pound was last 0.3% lower at $1.2907.
  • The euro (EUR=) slipped to $1.1635.
  • That left the dollar index, which measures the greenback against a basket of peers, barely changed at 94.12.

Bonds

  • The yield on 10-year Treasuries declined one basis point to 0.86%.
  • The yield on two-year Treasuries was unchanged at 0.15%.
  • Germany’s 10-year yield gained one basis point to -0.62%.
  • Britain’s 10-year yield sank two basis points to 0.245%.
  • Japan’s 10-year yield increased less than one basis point to 0.045%.

Commodities

  • West Texas Intermediate crude declined 2.5% to $34.84 a barrel.
  • Brent crude dipped 2.1% to $37.08 a barrel.
  • Gold strengthened 0.4% to $1,887.03 an ounce.