- Asian stocks edged lower on the last trading day of 2024 amid thin holiday volumes, with MSCI's Asia-Pacific index down 0.2% but set for an 8% annual gain. Markets in Japan, South Korea, and Thailand were closed, while Hong Kong, Philippines, Australia, and New Zealand had shortened sessions.
- Chinese stocks declined after manufacturing PMI data showed slower expansion in December at 50.1 versus 50.3 in November, missing expectations. The CSI 300 and Shanghai Composite both fell 0.4%, though Hong Kong's Hang Seng rose 0.7%. Non-manufacturing PMI improved to 52.2 from 50.0.
- South Korean political crisis deepened as a court approved an arrest warrant for impeached President Yoon Suk Yeol over his brief December 3 martial law declaration. The unprecedented move comes as acting president Han Duck-soo has also been impeached, while the country grapples with Sunday's Jeju Air crash that killed 179 people.
- Most Asian currencies weakened against the dollar and headed for yearly losses. The dollar index held near two-year highs despite easing 0.1% to 107.95. USD/JPY fell 0.3% to 156.43 but remained on track for a 10% annual decline. USD/INR touched fresh record highs with the rupee set to weaken over 3% in 2024.
- Oil prices rose with Brent up 0.8% to $74.64 and WTI gaining 0.9% to $71.67, though both benchmarks are headed for annual losses of 3.2% and 0.6% respectively. Expanding Chinese factory activity provided some support, but concerns persist about 2025 demand amid OPEC+ cuts extension.
- Gold traded flat around $2,607 but remains poised for a stellar 26% gain in 2024, its strongest yearly performance in over a decade. Silver held near $29.31 while copper eased 0.2% to $8,925 despite China's continued manufacturing expansion.
- Cocoa and coffee emerged as the top performing commodities in 2024, with cocoa prices nearly tripling on persistent supply deficits. Looking ahead to 2025, trade tensions are expected to dominate as Trump returns to office threatening hefty tariffs on Chinese goods.
- Beijing passed new regulations to encourage autonomous driving technology, allowing driverless public buses and taxis after safety assessments from April 2025. The move comes as companies like Baidu's Apollo Go and Pony.ai expand their robotaxi fleets, while Tesla plans to introduce full self-driving in Q1 2025.
- Many global markets are closed or operating shortened sessions for New Year's Eve. Germany, Switzerland, Italy, Brazil, and South Korea are fully closed. Hong Kong and Singapore will close at 12:00, UK at 12:30, New Zealand at 12:45, Spain at 14:00, France at 14:05, and Australia at 14:10.
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
