Global Market Quick Take: Asia – April 19, 2024 Global Market Quick Take: Asia – April 19, 2024 Global Market Quick Take: Asia – April 19, 2024

Global Market Quick Take: Asia – April 19, 2024

Macro 6 minutes to read
Charu Chanana

Head of FX Strategy

Summary:  Fedspeak is getting aligned on the potential for no rate cuts this year, and Fed member Williams also highlighted a tail risk of a rate hike. This has made markets nervous, and a selloff ensued both in equities and bonds. Tech led the weakness, and chip stocks are in focus after ASML and now TSMC sending some warning signs. In FX, yen intervention threat has ratcheted up as dollar remains king while in commodities, the rally in Copper prices has extended to a two-year high.

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

Equities: US equities extended the sell-off, with the S&P 500 closing lower for a fifth consecutive day and getting close to testing the key 5,000-mar. Concerns on inflation and the Fed path are back on the radar after several Fed members are now highlighting the possibility of no rate cuts this year, and Williams also keeping the door open for a rate hike.

Taiwanese chipmaker TSMC, the key chip supplier to Nvidia and Apple, fell 5% as its lowered forecast for overall semiconductor growth offset its strong Q1 results. TSMC also kept its capex budget unchanged, disappointing those expecting an increase. Netflix was also down in the after-hours, despite adding over 9 million subscribers in Q1 as revenue guidance fell short and its plans to stop reporting subscriber numbers from next year spooked investors.

FX: The dollar reversed its slide from earlier on Thursday and the DXY index came back above 106 in the US session as hawkish waves continued both from data and Fed speakers. CAD was the sole gainer on the G10 board but was nearly flat. NOK led the selloff, with USDNOK touching fresh highs of 11.06 as geopolitical risk premium was reduced. Japanese yen was a big focus after G7 comments yesterday hinting that the US may tolerate Japan’s intervention, but USDJPY still traded near its three-decade lows at 154.50+ levels after a brief dip below 154 yesterday. Any move towards 155 will bring heightened fears of intervention from here. EURUSD came under pressure as well as dollar rally resumed, and slipped to 1.0640 after a test of 1.090 failed. AUDUSD attempted a move above 0.6450 with copper and iron ore prices pushing higher, but employment data failed to excite, and pair dropped back to 0.6420 in the US session.

Commodities: Copper prices rallied 2.4% and signals the improving health of the global economy. Focus is also back on fundamentals with copper demand high for green transition and AI but ore downgrades limiting supply. To know more about the dynamics around Copper and copper miners, read this article from head of Commodity Strategy, Ole Hansen. Gold resumed its upside momentum despite hawkish waves from strong US data and comments from Fed’s Williams. Crude oil prices, meanwhile, are on course for a weekly drop amid a stronger dollar offsetting geopolitical concerns.

Fixed income: Treasury sell-off resumed after Fed's Williams alluded to a rate hike tail scenario in the backdrop of a hot Philly Fed survey and steady jobless claims. The 2-year yield got back to the key 5% resistance, while 10-year rose to 4.6%.


  • US jobless claims again suggested that labor market remains strong. Claims for the week of April 13 were unchanged at 212k, marginally shy of the expected 215k, leaving the 4-wk average unchanged at 214.5k.
  • Fed speakers were a key focus, and Bostic repeated that a rate cut may be unlikely this year while Williams and Kashkari added to the hawkish rhetoric. Williams, a key voice in the Fed committee and a voter, even warned that if the data called for higher rates, the Fed would hike.
  • Japan’s national CPI for March came in marginally softer-than-expected with headline at 2.7% YoY vs. 2.8% expected and previous. Core CPI was at 2.6% YoY vs. 2.7% expected and the core-core measure was at 2.9% YoY from 3.2% previous and 3.0% expected. This reduces the risk of another rate hike at the BOJ meeting next week, after comments from Governor Ueda earlier that yen-induced inflation will be key to monitor.

Macro events: UK Retail Sales (Mar), Germany PPI (Mar). Speakers: BoE’s Ramsden; Fed's Goolsbee

Earnings: American Express, Schlumberger, Procter & Gamble, China Tower

In the news:

  • Netflix Reports Record Profits As Subscriber Growth Tops Estimates (Forbes)
  • TSMC beats first-quarter revenue and profit expectations on strong AI chip demand (CNBC)
  • Modi Bets on Third Term as India’s Massive Election Kicks Off (Bloomberg)
  • No Link Too Tenuous for Retail Traders in China AI Gold Rush (Bloomberg)
  • BOJ's Ueda signals possible rate hike if weak yen boosts inflation (Reuters)


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

For a global look at markets – go to Inspiration.


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 (

Saxo Markets
40 Bank Street, 26th floor
E14 5DA
United Kingdom

Contact Saxo

Select region

United Kingdom
United Kingdom

Trade Responsibly
All trading carries risk. To help you understand the risks involved we have put together a series of Key Information Documents (KIDs) highlighting the risks and rewards related to each product. Read more
Additional Key Information Documents are available in our trading platform.

Saxo Markets is a registered Trading Name of Saxo Capital Markets UK Ltd (‘SCML’). SCML is authorised and regulated by the Financial Conduct Authority, Firm Reference Number 551422. Registered address: 26th Floor, 40 Bank Street, Canary Wharf, London E14 5DA. Company number 7413871. Registered in England & Wales.

This website, including the information and materials contained in it, are not directed at, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in the United States, Belgium or any other jurisdiction where such distribution, publication, availability or use would be contrary to applicable law or regulation.

It is important that you understand that with investments, your capital is at risk. Past performance is not a guide to future performance. It is your responsibility to ensure that you make an informed decision about whether or not to invest with us. If you are still unsure if investing is right for you, please seek independent advice. Saxo Markets assumes no liability for any loss sustained from trading in accordance with a recommendation.

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. Android is a trademark of Google Inc.

©   since 1992