Bonds & Stocks
The cooling of geopolitical tensions and a rally in the world’s largest chipmakers fueled gains in stocks, which kept gaining after solid economic data. Bonds fell and the dollar wavered. Equities rose around the world, with S&P 500 futures pointing to more gains after a dial-back in US threats about acquiring Greenland calmed global markets.
Economy
Applications for US unemployment benefits were little changed last week, steadying at low levels after a volatile holiday season. Initial claims increased by 1,000 to 200,000 in the week ended Jan. 17, according to Labor Department data released Thursday. The median forecast in a Bloomberg survey of economists called for 209,000.
World
It took just $280 million of trading to push Japan’s $7.2 trillion government bond market into meltdown. That was the combined turnover for the country’s benchmark ultra-long maturity bonds as they plummeted on Tuesday, unleashing a $41 billion wipeout across the Japanese curve that sent shockwaves through global markets.