MARKET UPDATE

Asia shares slip as U.S. jobs stunner hammers bonds

Asian share markets mostly eased on Monday after stunningly strong U.S. jobs data soothed concerns about the global economy but also added to the risk of an aggressive tightening by the Federal Reserve.

Geopolitics also remained a worry as the White House warned Russia could invade Ukraine any day and French President Emmanuel Macron prepared for a trip to Moscow.

 

Dollar Edges Higher; Euro Slips Back From Three-Week High

The U.S. dollar edged higher Monday, helped by the strong U.S. jobs data, while the euro edged off Friday’s three-week peak as traders continued to digest the European Central Bank’s hawkish turn.

The dollar has been helped by Friday’s very strong jobs report, with 467,000 nonfarm jobs added in January, way more than expected, while, even more strikingly, the government revised up payroll data for November and December by a combined total of over 700,000.

 

U.S. stock market liquidity ‘abysmal,’ adding to volatility risk

Liquidity in U.S. stocks has fallen to levels last seen during the COVID-19 selloff two years ago, adding to volatility in an already-nervous market.

Market liquidity, or how easily investors can buy or sell a security without affecting its price, has been on a downward spiral for years. In recent weeks, however, traders have been whipsawed by massive moves.

 

Thai stock investor mood at 6-mth low on Fed tightening

Investor confidence in Thailand’s stock market over the next three months slipped to a six-month low on concerns about the Federal Reserve’s tightening plans and a sluggish domestic economy, a capital market group said on Monday.

A January survey by the Federation of Thai Capital Market Organizations (FETCO) showed its investor confidence index tumbled to 93.91 from 129.53 the previous month.

Foreign investors’ confidence plunged to the “bearish zone” from the “bullish zone”, hurt also by international conflicts, the federation said.

 

 

 

 

 

 

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