Markets dare to hope as US, Iran put war on hold
SPY•Asian IPO and market backdrop
In a hopeful sign, Chinese chipmaker CXMT Corp's shares 688825.SS surged 500% in their Shanghai trading debut after the company raised $8.6 billion in Asia's biggest initial public offering this year.
Rates, central banks and economic data
The retreat in oil helped bonds rally after a tough run last week, while Fed funds futures have taken 2 to 3 basis points of tightening out of the curve.
The market still has a one-in-three chance of the Federal Reserve hiking this week. The vast majority of analysts assume Chair Kevin Warsh is not for tightening, but there could easily be one or two dissents in favour of an immediate hike.
The Bank of England holds its meeting on Thursday and the Bank of Japan on Friday, and both are expected to hold steady while remaining cautious about inflation risks ahead.
The balance of risks was illustrated by Singapore's central bank, which surprised on Monday with a tightening of its own by allowing a slightly faster appreciation in its currency.
