Erik Schafhauser Zürich Erik Schafhauser Zürich Erik Schafhauser Zürich

Morning Brew JApril 2 2024

Morning Brew 1 minute to read
Erik Schafhauser

Senior Relationship Manager

Summary:  USD Weak into Q2

Good morning,

After Fridays Inflation numbers were in line with expectations, yesterdays ISM PMI rose to above 50 and caused the narrative of imminent rate cuts to crumble. 10 Year US Yields are above 4.30. Rate traders’ price in slightly less than three cuts by year end – 65 BPS are being traded for the Fed, the ECP remains at -90 BPS.

The US Dollar gains and reaches the highest level this year, the USD Index breached 105 and EURUSD 107.30, GBPUSD 1.2540 and USDJPY rises to the highest since the burst of the Japanese Bubble economy at 151.75. Japanese Finance Minister Suzuki said Japan was ready to act against excessive exchange-rate volatility.

Gold, Silver and oil remain strong on rising tensions in the middle east – the Iranian consulate was struck by a detonation and 5 employees of an aid organization were killed in an air strike. Gold is 2252, Silver 25.32 and Oil 84.20.

Indexes seem stalling near the highs and are looking for clues, the US500 is 5233, GER40 18500 and the US Tech 100 Nas 18260.

Donald Trump deposited enough collateral to avoid a seizure of his NY assets while the shares of his social Media company fell 36% off the high. UBS announced a share buyback to the tune of USD 2 bio. Microsoft will unbundle Teams and Office due to possible antitrust issues.

The Start of the quarter seems undecided but we will have a lot of input this week as seen below, next to the planned events, the middle east needs watching and the saber rattling by Russia as well.

Key Events:

- Data International PMI, DE inflation, Mester Speaks, Tesla Q1 deliveries
- Data International PMI, EU Inflation, ADP Payrolls, ISM Services PMI, Powell speaks,

- Data More PMI, initial Jobless claims, Barkin speaks,

- Data:  De Industrial Orders, US Nonfarm Payroll, Unemployment Rate



The Saxo Bank Group entities each provide execution-only service and access to Analysis permitting a person to view and/or use content available on or via the website. This content is not intended to and does not change or expand on the execution-only service. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Saxo News & Research and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to Saxo News & Research is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Saxo News & Research or as a result of the use of the Saxo News & Research. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. Saxo News & Research 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. To the extent that any content is construed as investment research, you must note and accept that the 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 under relevant laws.

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

Saxo Bank (Schweiz) AG
The Circle 38

Contact Saxo

Select region


All trading carries risk. Losses can exceed deposits on margin products. You should consider whether you understand how our products work and whether you can afford to take the high risk of losing your money. To help you understand the risks involved we have put together a general Risk Warning series of Key Information Documents (KIDs) highlighting the risks and rewards related to each product. The KIDs can be accessed within the trading platform. Please note that the full prospectus can be obtained free of charge from Saxo Bank (Switzerland) ltd. or the issuer.

This website can be accessed worldwide however the information on the website is related to Saxo Bank (Switzerland) Ltd. All clients will directly engage with Saxo Bank (Switzerland) Ltd. and all client agreements will be entered into with Saxo Bank (Switzerland) Ltd. and thus governed by Swiss Law.

The content of this website represents marketing material and has not been notified or submitted to any supervisory authority.

If you contact Saxo Bank (Switzerland) Ltd. or visit this website, you acknowledge and agree that any data that you transmit to Saxo Bank (Switzerland) Ltd., either through this website, by telephone or by any other means of communication (e.g. e-mail), may be collected or recorded and transferred to other Saxo Bank Group companies or third parties in Switzerland or abroad and may be stored or otherwise processed by them or Saxo Bank (Switzerland) Ltd. You release Saxo Bank (Switzerland) Ltd. from its obligations under Swiss banking and securities dealer secrecies and, to the extent permitted by law, data protection laws as well as other laws and obligations to protect privacy. Saxo Bank (Switzerland) Ltd. has implemented appropriate technical and organizational measures to protect data from unauthorized processing and disclosure and applies appropriate safeguards to guarantee adequate protection of such data.

Apple, iPad and iPhone are trademarks of Apple Inc., registered in the U.S. and other countries. App Store is a service mark of Apple Inc.