Global Market Quick Take: Asia – May 21, 2024 Global Market Quick Take: Asia – May 21, 2024 Global Market Quick Take: Asia – May 21, 2024

Global Market Quick Take: Asia – May 21, 2024

Macro 6 minutes to read
APAC Research

Key points:

  • Equities: Nasdaq hits record high
  • FX: Canadian dollar to watch ahead of CPI
  • Commodities: Gold price hits record high
  • Fixed income: Treasuries dropped for a third day
  • Economic data: Australia May Westpac consumer confidence, Canada April CPI


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

21 QT

The S&P 500 inched up, buoyed by hopes for rate cuts and positive sentiment around Nvidia's upcoming earnings, stirring a risk-on mood. Nvidia's rise, echoed by other AI-focused firms like AMD and Intel, contributed to the Nasdaq 100's 0.7% rally, despite a tick up in the CBOE Volatility Index. Asian markets had a tepid start, with mixed futures as investors await Nvidia's report, the final of the "Magnificent Seven" tech giants to announce earnings, which could reinforce the strong demand for its AI chips. U.S. futures remained stable amid the anticipation. Microsoft has revealed new PCs featuring AI chips from Qualcomm. These new Surface PCs will be designed to meet Microsoft's Copilot+ standard for executing artificial intelligence models.

Jamie Dimon stated that JPMorgan would not engage in significant stock buybacks at current high prices, indicating a preference for repurchasing when the stock value drops. Following these remarks, the bank's shares, which had recently closed at a record high, declined by 4.5%. Despite the day's losses, the bank's shares have still risen 15% this year. Palo Alto Networks dropped 9% in post-market following the fourth-quarter guidance, which was less optimistic than anticipated at the midpoint of its projections.

FX: The U.S. dollar strengthened on Monday, echoing an uptick in Treasury yields as Federal Reserve officials reiterated a commitment to maintaining a tight monetary policy. The Bloomberg Dollar Spot Index saw a modest increase of 0.1%, with the Mexican peso's gains helping to temper the index's rise. USDJPY climbed to 156.23, a 0.4% increase, driven by stop-loss actions and yen sales, with the May high of 156.74 in sight if the uptrend continues. The euro dipped against the dollar, with EURUSD down 0.1% at 1.0861, as ECB's Martins Kazaks commented on aligning rate cuts with the slowing inflation in the eurozone. GBPUSD remained relatively unchanged, with upcoming UK CPI data drawing attention. USDCAD held steady before Canadian CPI figures are released, while the Australian dollar weakened slightly alongside a retreat in copper prices and a decline in the offshore yuan. The New Zealand dollar underperformed, falling 0.4% as the market anticipates the upcoming RBNZ meeting.

Commodities: Gold prices reached record highs, settling at $2,438.50 an ounce, driven by safe-haven demand. Copper prices surged, with three-month copper on the London Metal Exchange rising 2% to $10,897 per metric ton, peaking at $11,104.5. Bitcoin prices rose by 2.5% to above $68,650 and Ethereum soared 18% amid new speculation that spot Ether ETF could be approved this week, boosting other cryptocurrencies and related stocks. Brent Crude futures settled at $83.71/bbl, while U.S. WTI crude oil futures settled at $79.80/bbl. Natural gas futures settled at $2.751/mmBtu, reach 4-month highs, driven by early season heat in Texas.

Fixed income: Treasuries experienced a third consecutive day of decline, offsetting the previous week's bond rally due to indications of reduced inflationary pressures in the US. The 10-year yield remained around 4.43% at 2:45 p.m. in New York, with a surge in futures market selling contributing to an early session slump. Although losses were partially reversed throughout the day, yields for all maturities were still elevated by approximately 1 basis point


  • Fed Vice Chair Barr expressed disappointment with Q1 inflation, stating that it did not provide the confidence needed to ease monetary policy. He emphasized the need to allow tight policy more time to take effect and indicated that the Fed is in a good position to maintain a steady approach and monitor the economy. Additionally, he highlighted the Fed's vigilance towards the risks associated with inflation and employment mandates, deeming the current approach as prudent for managing these risks.
  • Federal Reserve Vice Chair Philip Jefferson, speaking at a Mortgage Bankers Association conference in New York, stated that it is too early to determine whether the recent slowdown in disinflation will be long-lasting, but expressed encouragement at the better reading for April.
  • Federal Reserve Bank of Cleveland President Loretta Mester mentioned the possibility of raising rates if appropriate, but clarified that it is not the base case. She also indicated reasons to believe that the neutral rate may be higher than it used to be and expressed skepticism about a quick decrease in inflation, despite welcoming the latest CPI report. Mester also stated that she does not consider three rate cuts in 2024 to be appropriate.

Macro events:  Australia May Westpac consumer confidence, Canada April CPI

Earnings: XPeng, James Hardie, Kingfisher, Lowe’s, Macy’s, Toll Brothers


  • JPMorgan CEO Jamie Dimon signals retirement is closer than ever (CNBC)
  • Fed policymakers still cautious on inflation and policy (Reuters)
  • Microsoft announces new PCs with AI chips from Qualcomm (CNBC)
  • Palo Alto's quarterly billings forecast fails to impress investors, shares fall (CNA)

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

For a global look at markets – go to Inspiration.




The Saxo 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 is not intended to and does not change or expand on this. 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 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 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 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 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 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 (

None of the information contained here constitutes an offer to purchase or sell a financial instrument, or to make any investments. Saxo 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 or its affiliates.

Saxo Capital Markets HK Limited
19th Floor
Shanghai Commercial Bank Tower
12 Queen’s Road Central
Hong Kong

Contact Saxo

Select region

Hong Kong S.A.R
Hong Kong S.A.R

Saxo Capital Markets HK Limited (“Saxo”) is a company authorised and regulated by the Securities and Futures Commission of Hong Kong. Saxo holds a Type 1 Regulated Activity (Dealing in Securities); Type 2 Regulated Activity (Dealing in Futures Contract); Type 3 Regulated Activity (Leveraged Foreign Exchange Trading); Type 4 Regulated Activity (Advising on Securities) and Type 9 Regulated Activity (Asset Management) licenses (CE No. AVD061). Registered address: 19th Floor, Shanghai Commercial Bank Tower, 12 Queen’s Road Central, Hong Kong.

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. Trading in leveraged products may result in your losses exceeding your initial deposits. Saxo does not provide financial advice, any information available on this website is ‘general’ in nature and for informational purposes only. Saxo does not take into account an individual’s needs, objectives or financial situation. Please click here to view the relevant risk disclosure statements.

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

The information or the products and services referred to on this site 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 are not directed at, or intended for distribution to or use by, any person or entity residing in the United States and Japan. Please click here to view our full disclaimer.

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