Hight Level

European shares climbed on Tuesday, tracking a global rally in equities after China further relaxed its COVID-19 curbs, raising hopes of a recovery in the world's second-largest economy.

The pan-European STOXX 600 index gained 0.4% to start the holiday-shortened week higher.

The dollar fell on Tuesday after China said it would scrap its COVID-19 quarantine rule for inbound travellers - a major step in reopening its borders that boosted risk-related currencies such as the New Zealand and Australian dollars.

China will stop requiring inbound travellers to go into quarantine on arrival starting Jan. 8, the National Health Commission said on Monday, even as COVID cases spike. At the same time, Beijing downgraded regulations for managing COVID cases to the lighter Category B from the top-level Category A.

Russia's budget deficit could be wider than a planned 2% of GDP in 2023 as an oil price cap squeezes export income, Finance Minister Anton Siluanov said, an extra fiscal hurdle for Moscow as it spends heavily on its military activities in Ukraine.

His comments represented Moscow's clearest acknowledgement yet that the $60 per barrel cap, imposed on Dec. 5 by the Group of Seven, European Union and Australia with the aim of limiting Russia's ability to fund the military campaign, could indeed hit state finances.

Thailand's government is planning to keep its budget deficit to no more than 3% of gross domestic product in the 2024 fiscal year, the finance minister said on Tuesday, aiming for a deficit of 593 billion baht ($17.13 billion).

Arkhom Termpittayapaisith also said the inflation target range of 1% to 3% was appropriate and monetary policy would ensure continued recovery of the economy.

The inflation target will help maintain price stability and keep medium-term inflation expectations anchored, he told a news conference.

Stock markets gained on Tuesday after China said it would scrap its COVID-19 quarantine rule for inbound travellers - a major step in reopening its borders.

MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.6%, outperforming an index of global shares, which rose 0.2%. China's bluechip gained 1%.

Tesla (NASDAQ:TSLA) plans to run a reduced production schedule at its Shanghai plant in January, extending the reduced output it began this month into next year, according to an internal schedule reviewed by Reuters.

Tesla will run production for 17 days in January between Jan. 3 to Jan. 19 and will stop electric vehicle output from Jan. 20 to Jan. 31 for an extended break for Chinese New Year, according to the plan seen by Reuters.

Amid the biggest ratings changes in the past week, Tesla was slashed at Oppenheimer and suffered another painful tumble in the past five sessions. Here are all of this past week's most significant analyst rating changes, covered first on InvestingPro+. Sign up for comprehensive, rapid-fire coverage of market-moving analyst moves.

As the year 2022 comes to a close, a steady theme has been cryptocurrency markets falling under selling pressure.

With bear market conditions prevailing, we rank the biggest gainers and losers among the top 100 cryptocurrency assets, as ranked by capitalization. Performance numbers are as of December 27th.

Cathie Wood’s ARK Innovation Fund, which more than doubled during the pandemic rally, is on pace to finish near the very bottom of all U.S. mutual funds in 2022 after surging inflation and higher interest rates dried up appetite for high-growth shares.

2022 saw the EUR/USD pair return below parity, with a low of 0.9535 on September 28, not only the low for the year but also the lowest mark since June 2002, more than 20 years ago.

Between the beginning of the year, when the euro was worth around $1.135, and the low in late October, this year's bearish move ultimately amounted to over 1800 basis points.

The Russian rouble weakened on Tuesday, struggling to consolidate a slight recovery from last week's slide as the market comes to terms with the prospect of lower export revenue in the wake of restrictions on Russian oil.

Nearly three out of five German industry associations are pessimistic about next year and expect their companies to produce less as high energy prices due to the war in Ukraine show no signs of abating, found a survey published Tuesday.