Connect with us

World

Asian stocks slide ahead of ECB meeting, US inflation data | Financial Markets

Published

on


MSCI’s broadest index of Asia-Pacific shares eases 0.1 percent, while Japan’s Nikkei 225 drops 0.6 percent.

Asian shares slipped on Monday ahead of a week thronging with central bank meetings and US inflation data, while the euro eked out a gain on relief the far right did not win the first round of the French presidential elections.

French leader Emmanuel Macron and challenger Marine Le Pen qualified on Sunday for what promises to be a tightly fought presidential election runoff on April 24.

A Le Pen victory would be a similar jolt as Britain’s Brexit vote to leave the European Union (EU). The result was close enough to leave the euro just a tick firmer at $1.0888, after an initial jump to $1.0950.

The mood in equity markets was cautious, with MSCI’s broadest index of Asia-Pacific shares outside Japan easing 0.1 percent. Japan’s Nikkei 225 dropped 0.6 percent, having shed 2.6 percent last week.

S&P 500 stock futures ESc1 and Nasdaq futures NQc1 both dipped 0.2 percent in early trade. Earnings season kicks off this week with JP Morgan, Wells Fargo, Citi, Goldman Sachs and Morgan Stanley all due to report.

Wall Street, so far, has fared surprisingly well in the face of a vicious selloff in bonds which saw 10-year Treasury yields surge 31 basis points last week to be last at 2.72 percent.

Markets have raced to price in the risk of ever-larger rate hikes from the Federal Reserve with futures implying rises of 50 basis points at both the May and June meetings.

BofA’s US economist Ethan Harris now expects half-point hikes at each of the next three meetings and a cycle peak around 3.25-3.50 percent.

“If inflation looks like it is heading below 3 percent, then our current call should be hawkish enough,” Harris said in a note. “Conversely, if inflation gets stuck above 3 percent then the Fed will need to hike until growth drops close to zero, risking a recession.”

Hawkish slant

All of which underlines the importance of the March US consumer price report on Tuesday where the median forecast is for a stratospheric rise of 1.2 percent, taking annual inflation to an eye-watering 8.5 percent.

Inflation will also be front and centre for the European Central Bank meeting on Thursday where the risk is for a hawkish slant to the statement.

“Inflation has jumped well above where the ECB thought it would be just one month ago,” noted analysts at TD Securities. “We expect a dramatic shift from the ECB, with the announcement of an early end to QE in May and setting the groundwork, but not quite committing to, a June hike.”

Continuing the tightening theme, central banks in Canada and New Zealand could well raise rates by 50 basis points at their policy meetings this week.

The outsized rise in Treasury yields has seen the dollar index top 100 for the first time since May 2020, and it was last trading at 99.785.

The main casualty has been the yen as the Bank of Japan remains dedicated to keeping its policy super-loose and bond yields near zero. The dollar was up at 124.37 yen, having gained 1.5 percent last week to just below its recent peak of 125.10.

In commodity markets, thermal coal was the stand-out winner last week with a rise of almost 13 percent after the EU banned imports of Russian coal.

Gold managed a weekly gain of 1.1 percent but has been undermined by the huge rise in bond yields and was last flat at $1,944 an ounce.

Oil prices remained under pressure after world consumers announced plans to release crude from strategic stocks and as Chinese lockdowns continued.

Early Monday, Brent was down $1.51 at $101.27, while US crude lost $1.48 cents to $96.78.



Source link

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published.

World

US envoy meets Taliban foreign minister, raises women’s rights | Taliban News

Published

on


US special envoy on Afghanistan stresses international opposition to Taliban’s treatment of women and girls.

The US special envoy on Afghanistan has met the Taliban’s acting foreign minister in the Qatari capital Doha and stressed international opposition to the group’s expanding curbs on women and girls.

“Girls must be back in school, women free to move & work w/o restrictions for progress to normalised relations,” US Special Representative on Afghanistan Thomas West wrote on Twitter on Saturday after meeting Amir Khan Mutaqi.

Since returning to power last August, the Taliban has imposed a slew of restrictions on civil society, many focused on reining in the rights of women and girls, that are reminiscent of their last rule in the 1990s.

Girls’ schools are yet to open, more than eight months since the Taliban came to power. The group has insisted that it wants girls to get back to school, but justified the delay on reasons ranging from infrastructure to lack of resources due to the economic crisis.

When the Taliban took power in August, the armed group promised to uphold the rights of girls and women. But its actions since have worried the international community.
Earlier this month, Afghanistan’s supreme leader ordered women to cover up fully in public, including their faces, ideally with the traditional burqa.

 

During the last few months, Taliban leaders, particularly from the Ministry of Propagation of Virtue and the Prevention of Vice, have announced many new restrictions, even as criticism and international pressure mounts against them.

In December, the ministry, which replaced the Afghan Ministry of Women Affairs, imposed restrictions on women from travelling further than 72km (45 miles) without a close male relative.

This restriction was further expanded to include travelling abroad, and several solo women travellers were reportedly stopped from boarding flights. Similar bans were also introduced in several healthcare centres across the country, forbidding women to access healthcare without a mahram (male chaperone).

In January, a group of 36 UN human rights experts said that Taliban leaders in Afghanistan are institutionalising large-scale and systematic gender-based discrimination and violence against women and girls.

A surprise U-turn in March, in which the group shuttered girls’ high schools on the morning they were due to open, drew the ire of the international community and prompted the US to cancel planned meetings on easing the country’s financial crisis.

A Ministry of Education notice said on March 23 that schools for girls would be closed until a plan was drawn up in accordance with Islamic law and Afghan culture, according to Bakhtar News Agency, a government news agency.

Economic stabilisation

West also said that the two discussed economic stabilisation in Afghanistan and concerns about attacks on civilians.

The country is teetering on the verge of economic disaster after the West froze Afghanistan’s assets held abroad and cut off aid.

“Dialogue will continue in support of Afghan people and our national interests,” West, the US envoy, said in his post.

The country has been reeling from a humanitarian crisis with more than half of the population facing hunger. The Taliban has struggled to revive the aid-dependent economy, which is in freefall due to sanctions and exclusion from international financial institutions.

In December, the Biden administration issued what it called “broad authorisations” to ensure that the United Nations, American government agencies and aid groups can provide humanitarian relief to Afghanistan without running foul of sanctions against the Taliban.





Source link

Continue Reading

World

Erdogan speaks to Stoltenberg over Finland, Sweden NATO bid | NATO News

Published

on


Turkey’s President tells NATO chief Sweden and Finland must address Ankara’s concerns before it could support their membership bid.

Turkey’s President Recep Tayyip Erdogan on Saturday said Ankara would not look “positively” on Sweden and Finland’s NATO bids unless its concerns were addressed, despite broad support from other allies, including the United States.

Turkey has long accused Nordic countries, in particular Sweden which has a strong Turkish immigrant community, of harbouring outlawed Kurdish rebels as well as supporters of Fethullah Gulen, the US-based preacher wanted over the failed 2016 coup.

Erdogan’s opposition has thrown a major potential obstacle in the way of the likely membership bids from the hitherto militarily non-aligned Nordic nations since a consensus is required in NATO decisions.

“Unless Sweden and Finland clearly show that they will stand in solidarity with Turkey on fundamental issues, especially in the fight against terrorism, we will not approach these countries’ NATO membership positively,” Erdogan told NATO chief Jens Stoltenberg in a phone call, according to the presidency.

On Twitter, Stoltenberg said he spoke with Erdogan “of our valued ally” on the importance of “NATO’s Open Door”.

“We agree that the security concerns of all Allies must be taken into account and talks need to continue to find a solution,” he said.

On Thursday, Stoltenberg said Turkey’s “concerns” were being addressed to find “an agreement on how to move forward”.

Erdogan speaks to leaders of Sweden and Finland

Erdogan, who refused to host delegations from Sweden and Finland in Turkey, held separate phone calls with the two countries’ leaders – Finnish President Sauli Niinisto and Swedish Prime Minister Magdalena Andersson – on Saturday, urging them to abandon financial and political support for “terrorist” groups threatening his country’s national security.

Erdogan called upon Sweden to lift defensive weapons export restrictions it imposed on Turkey over Turkey’s 2019 incursion into northern Syria, a Turkish presidential statement said.

The Turkish leader also said he expected Stockholm to take “concrete and serious steps” against the Kurdish Workers’ Party, or PKK, and other groups which Ankara views as “terrorists”.

Andersson tweeted that Sweden looked “forward to strengthening our bilateral relations, including on peace, security, and the fight against terrorism”.

The PKK has waged a rebellion against the Turkish state since 1984 and is blacklisted as a “terrorist organisation” by Turkey and Western allies like the European Union – which includes Finland and Sweden.

Erdogan told Finish President Sauli Niinisto “that an understanding that ignores terrorist organisations that pose a threat to an ally within NATO is incompatible with the spirit of friendship and alliance”, the statement added.

In return, Niinisto praised “an open and direct phone call” with Erdogan.

“I stated that as NATO allies Finland and Turkey will commit to each other’s security and our relationship will thus grow stronger,” he tweeted.

“Finland condemns terrorism in all its forms and manifestations. Close dialogue continues.”

Sweden and Finland, while solidly Western, have historically kept a distance from NATO as part of longstanding policies aimed at avoiding angering Russia.

But the two nations moved ahead with their membership bid in shock over their giant neighbour’s invasion of Ukraine, which had unsuccessfully sought to join NATO.

On Thursday, Niinisto and Andersson visited Washington, where they spoke with US President Joe Biden about their bids to join NATO in response to Russia’s invasion of Ukraine.

Biden said “Finland and Sweden make NATO stronger”, and offered the “full, total, complete backing of the United States of America”.



Source link

Continue Reading

World

Wimbledon: How Russia’s war on Ukraine will affect world tennis | News

Published

on


The usual trophies and prize money will be on the line for Novak Djokovic, Iga Swiatek and other top tennis players at Wimbledon, but there is a significant change there this year: No one will earn ranking points, a valuable currency in tennis, when play begins on June 27.

The women’s and men’s professional tours announced on Friday that they will not award ranking points to players at Wimbledon’s grass-court Grand Slam tournament because of the All England Club’s decision to bar players from Russia and Belarus over the war on Ukraine.

Both the Women’s Tennis Association (WTA) and Association of Tennis Professionals (ATP) said they were reacting to what they called “discrimination” against tennis players.

Here is a look at how this unprecedented move came about and what it means for Wimbledon and the world’s top tennis players:

Why did Wimbledon bar Russians and Belarusians?

The All England Club, which runs the oldest Grand Slam tournament  – Wimbledon was first held in 1877 – announced in April it would not allow players from Russia or Belarus to enter the event in 2022 because of the war in Ukraine.

Chief Executive Sally Bolton defended the club’s move as following a directive from the British government, and she cited a “responsibility to play our part in limiting the possibility of Wimbledon being used to justify the harm being done to others by the Russian regime”.

Have other sports banned Russian athletes?

Yes, including in football, where the Russian men’s team was kicked out of qualifying matches for this year’s World Cup. Figure skating and track and field are among the other sports to have taken action against Russian and Belarusian athletes.

In tennis, players from those countries have been allowed to compete – including at the French Open, the year’s second Grand Slam tournament, which begins on Sunday in Paris – but as “neutral” athletes who are not being identified by their nationalities.

Who can’t play at Wimbledon?

The most prominent Russian tennis player at the moment is Daniil Medvedev, who won the US Open last September and briefly reached number one in the men’s rankings this year. Andrey Rublev, who is ranked number seven in the ATP, is another top male player.

The WTA’s number seven, Aryna Sabalenka, who was a semi-finalist at Wimbledon a year ago, and former number one Victoria Azarenka, a two-time Australian Open champion, are from Belarus.

Tennis players from Russia and Belarus will not be allowed to play at Wimbledon this year because of the war in Ukraine, the All England Club announced Wednesday, April 20, 2022.
A spectator holding a Russian flag during the men’s singles match between Russia’s Daniil Medvedev and Croatia’s Marin Cilic at the Wimbledon Tennis Championships in 2021 [File photo Alberto Pezzali/AP]

Why cancel ranking points?

The WTA and ATP condemned the invasion of Ukraine, but said it was not fair for the All England Club to prevent certain players from playing because of the actions of their countries’ governments.

“Our rules and agreements exist in order to protect the rights of players as a whole,” the ATP said. “Unilateral decisions of this nature, if unaddressed, set a damaging precedent for the rest of the tour.”

The International Tennis Federation also withdrew its ranking points from the junior and wheelchair events at Wimbledon.

How do ranking points work? Why do they matter?

The WTA and ATP official rankings date to the early 1970s and currently are based on each player’s best results over the preceding 52 weeks; women count their top 16 tournaments, men their top 19.

Swiatek is the 28th woman to sit atop the WTA; Djokovic is one of 27 men to lead the ATP and has spent more weeks in that spot than anyone else.

Wimbledon and the three other Grand Slam tournaments award 2,000 points apiece to the women’s and men’s singles champions, more than any other events. In addition to other measures such as trophies or prize money, rankings are a way for fans, sponsors and others – including the players themselves – to understand where athletes stand in the sport’s hierarchy.

Technically, any tennis event that does not award ranking points is considered an exhibition.

Has this happened before?

Representatives of the ATP, WTA and ITF said they were unaware of any previous instances of rankings points being withheld from a tournament.

Will any players skip Wimbledon because there are no ranking points?

It is too soon to know, but even without ranking points, Wimbledon still offers plenty of prestige and millions of dollars in payouts.

“If you win it, I think you’d still be pretty happy,” said Jessica Pegula, an American seeded 11th at Roland Garros.

“But I think it’s just up to each individual person – how they’re feeling, their motivation.”

What will happen at the US open?

It is not yet known whether players from Russia or Belarus will be able to enter the US Open, the year’s last Grand Slam tournament, which begins in New York on August 29.

“We continue to monitor events”, US Tennis Association spokesman Chris Widmaier wrote in an email, “and are in active dialogue with the Ukraine and Russian/Belarusian players, the tours, the other Grand Slams, and other relevant parties”.



Source link

Continue Reading

Trending