An Hour Ago
Bank of Japan to increase bond purchases as as 10-year JGB yields hit decade peak
The Bank of Japan announced on Monday said it will be increasing its bond purchases at Wednesday’s auction, as a spike in government bond yields tests the central bank’s resolve to defend its yield curve control policy.
The BOJ will conduct an unspecific amount of additional purchases of Japanese government bonds with tenures of more than five years and up to 10 years.
Yields on 10-year Japanese government bonds hit as much as 0.775% Monday, its highest since September 2013.
—Clement Tan, Lee Ying Shan
2 Hours Ago
Euro zone manufacturing downturn continues, PMIs show
A robotic arm gets to work at German manufacturer Rittal’s smart factory in Haiger, to the west of Hesse, Germany.
Rittal
Euro zone manufacturing activity continued to decline sharply in September, according to HCOB and S&P Global’s latest purchasing managers’ index.
The survey found “weakness across the sector, with new orders continuing to shrink at a pace that has rarely been surpassed since the survey began in 1997.”
Input costs for businesses were lower but the sector also saw falls in employment, purchasing activity and inventories as business confidence and growth expectations also weakened.
“In a bid to boost competitiveness and stimulate demand, eurozone manufacturers decreased their prices charged for a fifth successive month and to one of the greatest extents seen in 14 years,” the survey’s authors wrote.
The picture remained gloomy in Germany, where output fell at the steepest rate for nearly three and a half years.
— Jenni Reid
3 Hours Ago
Europe stocks open higher
European stocks opened cautiously higher Monday, looking for a fresh start after the weakest quarter of the year and two straight monthly declines.
The regional Stoxx 600 index was up by 0.3% at 8:10 a.m. London time, with France’s CAC 40 gaining 0.5%, Germany’s DAX up by 0.36% and the U.K.’s FTSE 100 up 0.07%.
