- Asian stocks were mixed as traders weighed policy easing by China's central bank and data highlighting the country's economic challenges.
- Shares rose in China and Japan while falling in Hong Kong. Futures on the S&P500 and the Nasdaq100 fell. The yen fell, while a measure of the dollar rose. The stock and bond markets in the United States will be closed on Monday for a holiday.
- The PBoC exceeded market expectations for stimulus by lowering two key policy interest rates ahead of a report showing that economic growth slowed to 4% in the fourth quarter. The 10-year bond yield in the US has dropped to its lowest level since early January.
- The slowdown in Chinese expansion has been exacerbated by a real-estate slump and power shortages. The world's second-largest economy is also dealing with partial shutdowns in order to contain the spread of covid-19.
- Bond yields in Australia and New Zealand increased following a drop in US treasuries at the end of last week. The 10-year US Treasury yield has returned to levels seen before the pandemic roiled global markets in 2020.
