Global Market Quick Take: Asia – June 13, 2024 Global Market Quick Take: Asia – June 13, 2024 Global Market Quick Take: Asia – June 13, 2024

Global Market Quick Take: Asia – June 13, 2024

Macro 6 minutes to read
APAC Research

Key points:

  • Equities: Broadcom stock split
  • FX: US Dollar ends weaker
  • Commodities: Gold fails to hold gains
  • Fixed income:  Bonds rally on softer US inflation
  • Economic data: US PPI, Australia jobs


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

QT 13 Jun

Disclaimer: Past performance does not indicate future performance.

In the news:

  • Fed recap: Chair Powell explains why the central bank isn’t ready yet to cut rates (CNBC)
  • EU tariffs on China: Global reaction (Reuters)
  • Broadcom boosts revenue forecast from AI chips, unveils stock split (Reuters)
  • Tesla shareholder meeting: How investors are voting on Musk's $56-bln pay package (Reuters)
  • Inflation slows in May, with consumer prices up 3.3% from a year ago (CNBC)
  • GameStop tanks with huge volume in the call options owned by ‘Roaring Kitty’ (CNBC)

Macro: US CPI was cooler-than-expected across the board, sending a relief signal to markets. Core CPI M/M rose 0.2% (unrounded 0.163%), shy of the expected, and prior, +0.3% (prev. unrounded 0.292%) with the Y/Y +3.4% (prev. 3.5%, exp. 3.6%). Headline metrics were also light with M/M at 0.0% (exp. 0.1%, prev. 0.3%) and Y/Y at 3.3% (exp. 3.4%, prev. 3.4%). Supercore inflation turned negative at -0.04% MoM for the first time since September 2021. However, the Fed’s dot plot took some of the cheer away from the softer inflation print for a second consecutive month, as it shifted hawkish with median dot showing only one rate cut for 2024 from three in March. Looking ahead, the 2025 median dot plot is at 4.1%, up from 3.9% in March (signaling 100bps of rate cuts up from 75bps in March), while the 2026 dot was unchanged at 3.1%, but the longer run rate ticked up again to 2.8% from 2.6%. Chair Powell’s conference added little new information, preaching data-dependence even as he welcomed the May inflation report and said he would like to see more of that, repeating inflation is still too high and they need more data to gain confidence. China’s CPI rose 0.3% from a year earlier last month while factory prices dropped for the 20th months in a row, fueling concerns over persistently weak demand. Core inflation, which strips out volatile food and energy prices, rose 0.6%. The producer price index slid 1.4% in May from a year earlier after a 2.5% decline in April, largely due to rises in commodity prices.

Macro events: G7 summit, Australian Jobs Report (May), EZ Industrial Production (Apr), US PPI (May)

Earnings: Chow Tai Fook, Virgin Money, Wise, Signet Jewelers, Adobe

Equities: US markets were up, led by Apple (new all-time highs) after its WWDC events. Oracle also traded at all-time highs after earnings/ guidance. The rise in stocks was due to the lower-than-expected headline and core CPI readings for May and increased market expectations for rate cuts.  Broadcom earnings topped expectations and surged 12% after hours. The company also upgraded its revenue guidance and announced a 10 for 1 stock split.

Fixed income: Australian and New Zealand government bonds strengthened as US inflation data trailed expectations, prompting a surge in global debt markets. Following the softer inflation report, US Treasury yields continued to retreat, with the two-year note halving its earlier yield decline to just eight basis points. Despite this, market swaps are pricing in potential rate cuts for November and December. In contrast, Treasury note futures saw a decline in early trading in Asia. Federal Reserve officials have indicated a likelihood of only one rate cut this year, a reduction from the three cuts projected earlier in March.

In response, the yield on Australia's 3-year bonds dropped by 6 basis points to 3.88%, while their 10-year counterparts saw yields fall by 7 basis points to 4.21%. Meanwhile, yields on Japanese 10-year government bonds decreased by 3.5 basis points to 0.985% on Wednesday. In the backdrop of these movements, Japan's Ministry of Finance is set to auction ¥500 billion in long-term debt, ranging from 15.5 to 39 years in maturity.

Commodities: Gold held steady at $2,330 per ounce, while silver rose over 1% to around $30 per ounce after the Federal Reserve kept its funds rate unchanged as expected. Oil prices rose due to an unexpected increase in US crude stocks, with inventories rising by 3.73 million barrels last week, contrary to market expectations for a draw. UK natural gas futures surged by more than 5% to reach 85 pence a therm, in line with the increase in European prices following a legal case where Germany's Uniper SE secured €13 billion ($14 billion) in damages from Gazprom PJSC for failing to meet gas delivery obligations.

FX: The dollar weakened earlier in the overnight session as softer US inflation cheered markets and fueled risk-on, but a hawkish shift at the FOMC announcement despite the cooling in inflation prompted a slight recovery into the close for the DXY index to close above the 200-day moving average. EURUSD pushed back above 1.08 but eased from the post-CPI highs of 1.0852, but focus remains on French election concerns. USDJPY made a round-trip to lows of 155.72 but ended the day back above 156.50 as focus turns to BOJ meeting announcement due tomorrow. AUDUSD also reversed from 0.67 handle with eyes on Australia’s jobs report today, and NZDUSD was back below 0.62. EM FX is under pressure, and both COP and MXN were down 1% yesterday despite dollar weakness, suggesting risks of a carry unwind in emerging markets.


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

For a global look at markets – go to Inspiration.

Quarterly Outlook 2024 Q3

Sandcastle economics

01 / 05

  • Macro: Sandcastle economics

    Invest wisely in Q3 2024: Discover SaxoStrats' insights on navigating a stable yet fragile global economy.

    Read article
  • Bonds: What to do until inflation stabilises

    Discover strategies for managing bonds as US and European yields remain rangebound due to uncertain inflation and evolving monetary policies.

    Read article
  • Equities: Are we blowing bubbles again

    Explore key trends and opportunities in European equities and electrification theme as market dynamics echo 2021's rally.

    Read article
  • FX: Risk-on currencies to surge against havens

    Explore the outlook for USD, AUD, NZD, and EM carry trades as risk-on currencies are set to outperform in Q3 2024.

    Read article
  • Commodities: Energy and grains in focus as metals pause

    Energy and grains to shine as metals pause. Discover key trends and market drivers for commodities in Q3 2024.

    Read article

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.