Stories
Asian Shares Seesaw as Earnings Loom and Oil Prices Slide
- •Asian stock markets had an erratic start to the week as investors braced for the upcoming earnings season and oil prices dropped.
- •Brent futures slipped 1.6 percent to $103.01 a barrel and US crude lost 1.9 percent to $90.11 amid confusion over Russian energy exports.
- •US bank earnings begin on Tuesday, and TSMC is expected to report another quarter of record earnings on Thursday.
- •S&P 500 earnings are projected to jump over 30 percent in the third quarter, largely driven by the technology sector.
- •Markets are anticipating upcoming US consumer and producer price data, with rising energy costs expected to increase headline inflation.
Key Questions Answered
Stock markets in Asia experienced an erratic start on Monday as earnings season approached. Meanwhile, oil prices slipped due to confusion surrounding whether Russia would or could increase its energy exports, with Brent futures dropping 1.6% to $103.01 a barrel and US crude losing 1.9% to $90.11 a barrel.
TSMC, the world's largest manufacturer of advanced AI chips, is expected to report a sixth consecutive quarter of record earnings on Thursday.
Rising energy costs are expected to lift the consumer price index (CPI) by a hefty 0.6% to an annual 3.7%, while the core figure is anticipated to remain cooler at 0.2% and 2.5%. Analysts note that higher shipping and product prices are keeping oil prices elevated, which will squeeze purchasing power and keep central banks focused on near-term rate hikes.
