Morning Wrap (13.09.2023)

• Yesterday's market session ended with declines on Wall Street. The SP500 (US500) closed 0.60% lower at 4460 points, and the Nasdaq 100 (US100) lost a full 1.1% to 15290 points.
• The session in Asia and the Pacific in the first part of the day proceeded in a similar vein, with most markets losing. The Japanese Nikkei 225 lost 0.40%, the Kospi 0.05%, the Nifty 50 was down 0.06%, and the Australian S&P ASX 200 closed 0.60% lower.
• A sell-off of tech companies led to stock market declines, and investors are awaiting a key inflation report today that will likely indicate the decisive direction for the Federal Reserve's next decisions. 
• The consensus assumes an increase in main inflation to 3.6% year-on-year in August compared to a reading of 3.2% year-on-year in July. Core inflation is expected to fall to 4.3% year-on-year compared to 4.7% year-on-year last month.
• The ECB is starting a two-day meeting today before announcing a decision on interest rates. According to informed sources, the European Central Bank expects that inflation in the 20-country eurozone will remain above 3% next year. This strengthens the arguments for the tenth consecutive interest rate hike on Thursday.
• PPI data in Japan turned out to be slightly lower than expected on an annual basis and slightly higher on a monthly basis. The current data are 3.2% year-on-year and 0.3% month-on-month compared to the estimated 3.3% year-on-year and 0.2% month-on-month, respectively.
• Japan's Finance Minister Shunichi Suzuki said on Tuesday that the decision on detailed monetary policy belongs to the Bank of Japan (BoJ), which is now carefully watching market events and will take appropriate steps if necessary.
• Precious metals are quoted lower. Gold loses 0.15%, silver 0.90%, and platinum and palladium 0.60% and 1.0% respectively.
• On the other hand, energy commodities are quoted higher by an average of 0.4-0.6%. Oil is quoted 0.40% higher around 92.3 dollars per barrel.
• Cryptocurrencies are quoted slightly lower, Bitcoin has fallen back below the 26000 dollar level, and Ethereum has retreated below 1600 dollars. Today, the market awaits data on CPI inflation in the USA and the publication of a decision on how to liquidate assets recovered after the collapse of the FTX exchange.

Bitcoin returned to a level below 26000 dollars per BTC after yesterday's sharp increase, at moments even reaching 26500 dollars. Currently, Bitcoin is again in the consolidation channel, where it has been since mid-August.

Source: xStation 5