Asian Market Wrap:
Asian Market Wrap: 10-year Treasury yields jumped 3.3 bp to 1.809%, JGB yields are up 3.0 bp at -0.061%. Markets ignored warnings that U.S.-China trade talks have been derailed by the Hong-Kong bill and cautious comments from the PBOC on the global growth outlook and took a better than expected official manufacturing PMI for China as a cue to start December in full risk on mood. The numbers showed the manufacturing sector unexpectedly returning to expansion in November for the first time in seven months with the official reading rising to 50.2 from 49.3 in October. PBOC's Yi meanwhile wrote in an article published over the weekend that "the world economic downturn will likely stay for a long time", adding that "analysts should stay focused and targeted while not competitively lowering interest rates to zero or engaging in quantitative easing. Despite this and warnings that optimism in a quick trade deal between the U.S. and China may be misplaced, as Axios suggested that the Hong Kong bill threw a spanner in the works, stock markets seemed optimistic and Topix and Nikkei surged 0.9% and 1.0% respectively. The Hang Seng gained 0.4%, but CSI 300 and Shanghai Comp lost early gains and are currently up 0.03% and down -0.04% respectively. U.S. futures are up around 0.3%, however and in forex markets the yen declined with USD-JPY rising to 109.65. The front end WTI future meanwhile is trading at USD 56.10 per barrel.