U.S. Stock Futures Edge Higher as Tech Rout Deepens on AI Concerns and Earnings 
China Services PMI Hits Three-Month High as New Orders and Hiring Improve 
Trump Administration Sued Over Suspension of Critical Hudson River Tunnel Funding 
Gold Prices Rebound Near Key Levels as U.S.-Iran Tensions Boost Safe-Haven Demand 
Japan Services Sector Records Fastest Growth in Nearly a Year as Private Activity Accelerates 
South Korea’s Weak Won Struggles as Retail Investors Pour Money Into U.S. Stocks 
RBA Raises Interest Rates by 25 Basis Points as Inflation Pressures Persist 
Thailand Inflation Remains Negative for 10th Straight Month in January 
Australian Scandium Project Backed by Richard Friedland Poised to Support U.S. Critical Minerals Stockpile 
Asian Markets Slip as AI Spending Fears Shake Tech, Wall Street Futures Rebound 
Asian Markets Wobble as AI Fears Rattle Stocks, Oil and Gold Rebound 
Australian government bonds gained across the curve during Asian session on Wednesday as investors’ moved into safe-haven buying as stocks prices tumbled globally amid Italy worries.
The yield on Australia’s benchmark 10-year note, which moves inversely to its price, fell 1 basis point to 2.678 percent, the yield on the long-term 30-year bond dipped 1-1/2 basis points to 3.150 percent and the yield on short-term 2-year traded nearly flat at 2.022 percent by 03:50GMT.
The OCBC Bank in its daily Treasury outlook said global financial markets remain on a relatively soft footing in the interim as the S&P 500 continued to sell off with more than 90% of stocks trading lower amid the Saudi Arabia tensions (as Turkish president Erdogan said a team of Saudi generals conducted the killing of journalist Khashoggi and US president Trump called it “one of the worst” cover-ups in history), China’s slowdown and 3Q earnings concerns.
The 10-year U.S. Treasury bond yield continued to hug 3.16 percent, while the USD38 billion of 2-year note auction fetched 2.88 percent. Oil prices also slipped amid a pledge by Saudi Arabia to meet any shortfall from the Iranian sanctions, noted OCBC Bank.
Elsewhere, Italian PM Conte also said there is no “Plan B” for its budget despite the EC’s rejection of its proposal. With China’s equity market rally running out of steam yesterday, Asian bourses can tread carefully today. Market focus will be on Bank of Canada’s policy decision where a 25bps hike to 1.75 percent is anticipated. It will be a quiet data day in Australia and New Zealand.
Meanwhile, the S&P/ASX 200 index traded 0.13% higher at 5,824 by 04:00 GMT, while at 03:00GMT, the FxWirePro's Hourly AUD Strength Index remained neutral at -38.38 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex
