Japan unemployment, Evergrande liquidation reaction

Japan’s unemployment rate edged lower in the month of December, according to official data.

The jobless rate in the last month of 2023 fell to 2.4% from the previous month. The reading was 2.5% in October.

December’s jobless rate was also a tad lower than a Reuters poll forecast of 2.5%, and the lowest rate of unemployment since January 2023.

Another reading showed, the ratio for jobs-to-applicants was at 1.27 in December, levels not seen since June 2022.

It was also marginally lower than a Reuters poll forecast of 1.28.

— Shreyashi Sanyal

As China’s electric vehicle market goes from strength to strength, investors worldwide are showing a growing interest in getting involved.

“We’re particularly bullish on this fanning out of Chinese competitiveness in EV makers,” Kingsley Jones of boutique advisory firm Jevons Global told CNBC’s Pro Talks on Thursday. “There’s lots of them.”

However, significant hurdles remain for retail investors before they can be part of China’s EV growth story. For example, many stockbrokers charge a premium to trade Hong Kong-listed stocks, and Chinese regulations prevent retail investors abroad from buying mainland-listed “A-shares” directly.

Instead, the veteran investor pointed out that ETFs with concentrated positions remain viable options for those seeking exposure to the Chinese EV growth potential.

CNBC Pro subscribers can read more here.

— Ganesh Rao

Sell-offs in Boeing and a handful of other stocks has restricted gains for the Dow this month.

The blue-chip average is set to finish January’s trading month, which concludes with Wednesday’s closing bell, up about 1.7%. By comparison, the broad S&P 500 and technology-heavy Nasdaq Composite are on pace to advance 3.3% and 4.1%, respectively.

Part of those capped gains for the Dow are due to from Boeing, which has tumbled 21% this month. Shares have plummeted after a door plug on a 737 Max 9 aircraft blew out midflight.

Walgreens and Intel have also dragged on the 30-stock index, sliding roughly 13% each. A dozen Dow members are on pace to finish the month lower.

Those dives have somewhat mitigated gains seen elsewhere. Notably, IBM has led the index higher with a rally of more than 14%. Verizon and Merck were the next biggest gainers, advancing around 11% each.

— Alex Harring

Oil prices tumbled on Monday as worries grow about the impact of China’s property crisis on its economy.

The West Texas Intermediate contract for March fell $1.01, or 1.29%, to trade at $77 a barrel. The Brent contract for March dropped 94 cents, or 1.13%, to trade at $82.61.

Crude prices fell after a court in Hong Kong ordered the liquidation of Evergrande, which was once China’s largest property developer. Traders are worried China’s property crisis is weighing on its economy and the slowdown could soften demand for oil this year.

Oil rose more than 1% earlier in the session after three U.S. soldiers were killed in a drone strike on base in Jordan. The U.S. blamed Iran-allied militants for the attack.

“It’s a critical inflection point for the Biden administration because we really have to see whether he will have a serious escalatory response to this attack,” Helima Croft with RBC Capital Markets told CNBC’s “Worldwide Exchange” on Monday.

— Spencer Kimball

Energy names hurt the S&P 500 in Monday’s session.

The broad index inched up about 0.1% in morning trading. But it was weighed on by a slide in energy stocks, with the sector down 0.7%.

Every stock in the energy sector traded lower in the session. APA was the biggest loser, sliding 1.7%,

On the other hand, consumer discretionary was the best performing sector with a 0.3% advance. Tesla led the sector higher with a gain of more than 2%, regaining some ground after sliding more than 13% last week on the back of earnings.

— Alex Harring

The U.S. Treasury Department expects to borrow $760 billion in the first quarter, according to a press release published Monday afternoon. That is below the previous estimate of $815 billion “largely due to projections of higher net fiscal flows and a higher beginning of quarter cash balance,” the release said.

The reduced estimates appeared to spark a rally for bonds and stocks. The 10-year Treasury yield fell to its lowest level of the day at roughly 4.07%, while the S&P 500 is now up about 0.7%.

The Treasury will announce further details about its quarterly refunding plans on Wednesday.

— Jesse Pound