Global Market Quick Take: Asia – May 8, 2024 Global Market Quick Take: Asia – May 8, 2024 Global Market Quick Take: Asia – May 8, 2024

Global Market Quick Take: Asia – May 8, 2024

Macro 6 minutes to read
Charu Chanana

Head of FX Strategy

Key points:

  • Equities: US equities await next catalyst, Apple stepping up its AI game
  • FX: Dollar outperforms, AUD down on neutral RBA
  • Commodities: Strong dollar weighs
  • Fixed income: Solid demand for 3-year auction, UK gilts rally on rate cut hopes
  • Economic data: Riksbank announcement, German industrial orders, Fed’s Cook


The Saxo Quick Take is a short, distilled opinion on financial markets with references to key news and events. 

Equities: US equities stalled, with S&P 500 unable to crack above the psychological 5,200-mark despite lower yields as optimism from a dovish-tilting Fed started to fade. Walt Disney fell 9% after the entertainment giant's Disney+ subscriber growth fell just short of estimates and warned about a slowdown in its theme parks division, a key growth engine. Palantir tumbled 15% after the data analytics firm's annual revenue forecast fell short of analyst estimates. Chip stocks were also in focus with WSJ report on Apple developing its own AI chips for data center servers, and Apple also launched a new AI-focused iPad Pro ahead of the developer conference in June. After-hours, Reddit surged nearly 15% on its first earnings report while EV-maker Rivian slipped 6% on larger-than-expected Q1 loss. Uber and Airbnb earnings in focus today.

Meanwhile, EuroStoxx 600 index closed up 1.1% at a fresh record helped by strong company earnings and as sovereign yields ticked lower. UBS Group +7.6% and UniCredit 3.6% led the financial services sector after announcing strong profits. Infineon Technologies +13% on improved outlook. Japan’s Nikkei 225 index also rose 1.6% as its returned from Golden Week. Warren Buffett held trading house, Itochu, reached fresh all-time highs and reports earnings tomorrow, along with the world's largest car manufacturer Toyota.

FX: Forex markets were subdued amid lack of key data or events, and dollar strength prevailed. AUDUSD slid below 0.66 following a less hawkish-than-expected RBA outcome, which set the bar for a rate hike very high. We argue, however, that despite risks of dovish repricing in the RBA curve, AUD could be supported by a turn lower in USD given a dovish-tilting Fed and weakening economic growth, stability in China and rebound in commodity prices. Read this article for our thoughts on AUD. Meanwhile, yen weakness returned and USDJPY traded above 154.80 this morning, with the key 155 barrier coming in view and jawboning from authorities continued as BOJ Governor Ueda met with PM Kishida and said that he will closely monitor how a weak JPY will impact prices. GBPUSD testing a break below 1.25 with BOE meeting tomorrow coming in focus.

Commodities: Crude oil prices lacked a clear direction as with geopolitical tensions keeping supply side concerns in traders’ radar, while API inventory data again showed rising stockpiles for crude, gasoline and distillates. Elsewhere, the latest EIA STEO saw it cut its forecast for 2024 world oil demand growth by 30k BPD to a 0.92mln BPD Y/Y increase whilst raising its forecast for 2025 world oil demand growth by 70k BPD to a 1.42mln BPD Y/Y increase. A stronger dollar also took the shine off metals, and copper, gold and silver ended the day lower but continue to wait for the next catalyst.

Fixed income: Treasury auctions were in focus, and strong demand was seen for the 3-year auction. Tomorrow, the 2nd leg of the coupon auction this week will occur with the sale of 10-year notes. On Thursday, the treasury will complete the coupon auctions with the sale of 30-year bonds. Gilts saw a strong demand with expectations for BOE rate cuts this year rising as Thursday meeting comes in focus.


  • Fed’s Kashkari crossed the wires from the Milken Conference, saying that the Fed is ready to hold rates steady for an extended period, or raise rates, if needed but inflation target remains at 2% and Fed is not ready to raise that. He said it was too soon to declare that inflation progress has stalled, and still sees rate cut as possibility this year. Next up today will be Fed Governor Lisa Cook. Jefferson and Collins also speak, but expected limited update on monetary policy.
  • The Reserve Bank of Australia (RBA) left the cash rate unchanged at 4.35%, as expected. The market had set a high hawkish bar for the central bank, with pricing suggesting significant odds of a rate hike this year. As anticipated, the RBA did not meet this high bar, leaving the door open for both rate hikes and rate cuts without showing any significant concern over the recent uptick in Q1 inflation.

Macro events: Riksbank Announcement, German Industrial Output (Mar), Fed’s Cook

Earnings: Itochu, Toyota, BMW, Airbnb, Uber Technologies, Anheuser-Busch InBev, Shopify, Emerson Electric, Verbund, Munich Re, ARM


  • TikTok, ByteDance sue to block US law seeking sale or ban of app (Reuters)
  • Reddit's strong forecasts spark share surge after first results since IPO (Reuters)
  • Disney reports shrinking TV business, shares tumble (Reuters)
  • Copper Touches $10,000 as Goldman Sees ‘Stockout’ Risk (Bloomberg)
  • UOB Profit Beats Estimates as Wealth Fees Cushion Slower Lending (Bloomberg)


For all macro, earnings, and dividend events check Saxo’s calendar.

For a global look at markets – go to Inspiration.


Saxo Capital Markets (Australia) Limited prepares and distributes information/research produced within the Saxo Bank Group for informational purposes only. In addition to the disclaimer below, if any general advice is provided, such advice does not take into account your individual objectives, financial situation or needs. You should consider the appropriateness of trading any financial instrument as trading can result in losses that exceed your initial investment. Please refer to our Analysis Disclaimer, and our Financial Services Guide and Product Disclosure Statement. All legal documentation and disclaimers can be found at

The Saxo Bank Group entities each provide execution-only service. Access and use of Saxo News & Research and any Saxo Bank Group website are subject to (i) the Terms of Use; (ii) the full Disclaimer; and (iii) the Risk Warning in addition (where relevant) to the terms governing the use of the website of a member of the Saxo Bank Group.

Saxo News & Research is provided for informational purposes, does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. No Saxo Bank Group entity shall be liable for any losses that you may sustain as a result of any investment decision made in reliance on information on Saxo News & Research.

To the extent that any content is construed as investment research, such content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication.

None of the information contained here constitutes an offer to purchase or sell a financial instrument, or to make any investments.Saxo Capital Markets does not take into account your personal investment objectives or financial situation and makes no representation and assumes no liability as to the accuracy or completeness of the information nor for any loss arising from any investment made in reliance of this presentation. Any opinions made are subject to change and may be personal to the author. These may not necessarily reflect the opinion of Saxo Capital Markets or its affiliates.

Please read our disclaimers:
- Full Disclaimer (
- Analysis Disclaimer (
- Notification on Non-Independent Investment Research (

Saxo Capital Markets (Australia) Limited
Suite 1, Level 14, 9 Castlereagh St
Sydney NSW 2000

Contact Saxo

Select region


The Saxo trading platform has received numerous awards and recognition. For details of these awards and information on awards visit

Saxo Capital Markets (Australia) Limited ABN 32 110 128 286 AFSL 280372 (‘Saxo’ or ‘Saxo Capital Markets’) is a wholly owned subsidiary of Saxo Bank A/S, headquartered in Denmark. Please refer to our General Business Terms, Financial Services Guide, Product Disclosure Statement and Target Market Determination to consider whether acquiring or continuing to hold financial products is suitable for you, prior to opening an account and investing in a financial product.

Trading in financial instruments carries various risks, and is not suitable for all investors. Please seek expert advice, and always ensure that you fully understand these risks before trading. Saxo Capital Markets does not provide ‘personal’ financial product advice, any information available on this website is ‘general’ in nature and for informational purposes only. Saxo Capital Markets does not take into account an individual’s needs, objectives or financial situation. The Target Market Determination should assist you in determining whether any of the products or services we offer are likely to be consistent with your objectives, financial situation and needs.

Apple, iPad and iPhone are trademarks of Apple Inc., registered in the US and other countries. AppStore is a service mark of Apple Inc.

The information or the products and services referred to on this website may be accessed worldwide, however is only intended for distribution to and use by recipients located in countries where such use does not constitute a violation of applicable legislation or regulations. Products and Services offered on this website is not intended for residents of the United States and Japan.

Please click here to view our full disclaimer.