Asia Market Quick Take – November 13, 2025

Key points:

• Macro: House votes on bill to end shutdown
• Equities: Dow outperforms, up 0.7%; Circle Internet falls 10% after earnings.
• FX: USDJPY hit 155, Japan's urgent verbal intervention on FX
• Commodities: Silver +4.8% near record; WTI >4% lower, below $60
• Fixed income: Treasury rallies on solid 10 year auction and yield curve flattens

------------------------------------------------------------------

Disclaimer: Past performance does not indicate future performance.

Macro:

• House Majority Leader Scalise announced on CNBC that the House will vote on a bill to end the shutdown on Wednesday at 7 P.M. ET. If passed and signed, the government could reopen by Friday, and official economic data releases will gradually resume.
• Germany's consumer price inflation eased to 2.3% in October 2025 from 2.4% in September, with goods inflation slowing and energy prices declining further. Services inflation rose slightly to 3.5%. Core inflation held at 2.8%. Consumer prices increased by 0.3% monthly, up from 0.2% in September, while the EU-harmonised rate also fell to 2.3% year-on-year.
• Japan's producer prices rose 2.7% year-on-year in October 2025, slightly down from 2.8% in September but above the expected 2.5%. Most components saw price growth, though slower, while chemicals, iron and steel, and petroleum and coal products experienced further declines. Monthly prices increased 0.4%, below the 0.5% forecast.
• Fed's Williams stated that once reserves are ample, gradual bond-buying will resume soon, requiring expansion of holdings. He noted determining ample reserves is 'inexact,' and balance sheet expansion is technical, not monetary policy.
• Australia's unemployment rate fell to 4.3% in October 2025, beating expectations of 4.4% and down from 4.5% in September. Unemployment dropped by 17,000 to 665,400, while employment rose by 42,200 to a record 14.68 million, exceeding a forecasted 20,000 increase.

Equities: 

• US - U.S. stocks rallied Tuesday as the Dow jumped 410 points to a record high, while the S&P 500 and Nasdaq posted modest gains amid optimism the government shutdown will end this week. Health care led, with Eli Lilly (+3%) and AbbVie (+3.6%) driving sector strength. Financials outperformed as Goldman Sachs (+3.5%), JPMorgan (+1.5%), and AmEx (+0.7%) attracted buyers. AMD surged 9% on upbeat guidance, lifting Broadcom (+0.9%) and Qualcomm (+1.6%). Gains were capped by weakness in megacaps, keeping the Nasdaq under pressure. Traders focused on labor data and the congressional timetable for the final funding vote. Circle Internet reported earnings that beat estimates on stablecoin growth but fell 10% after concerns that falling interest rates could hit earnings. Polestar fell 17% after reported a larger Q3 loss and announced a reverse stock split to avoid Nasdaq delisting.
• EU - European stocks closed at record highs Wednesday as optimism over a U.S. government reopening and expectations of further Fed rate cuts lifted sentiment. The STOXX 50 gained 1.1% and STOXX 600 rose 0.7%, supported by strong corporate updates. Infineon climbed 2.2% after forecasting revenue growth by 2026, while RWE (+3.5%) and Bayer (+1.7%) beat profit estimates. LVMH hit €639.40, its highest since March, and Intesa Sanpaolo reached an all-time high of €5.91. Swiss names also advanced, while E.ON slipped 1.5% despite reaffirming its 2025 outlook.
• HK - Hong Kong’s Hang Seng climbed 255 points (1.0%) to 26,960 in early Wednesday trade, marking a third straight gain and its highest level in a month. Property and financial stocks led the advance, tracking Wall Street’s record Dow close as optimism grew over an imminent U.S. government reopening. Sentiment was boosted by reports China will expand private sector participation in infrastructure and energy projects to revive investment. Mainland car sales jumped 8.8% in October, the strongest in 10 months, aided by subsidies. Top movers included Nongfu Spring (+2.4%), China Resources Land (+2.3%), Xiaomi (+2.1%), and Trip.com (+1.9%).

Earnings this week:

• Thursday: Disney; Applied Materials; Brookfield; Tencent; JD.com; Singapore Airlines
• Friday: Li Auto, SMIC

FX:

• Dollar Index remained stable following weak ADP data, as JPY's decline couldn't offset EUR and CHF strength. Fed discussions were key, with Williams indicating a potential resumption of gradual bond buying, while Bostic maintained a hawkish stance on inflation risks despite stable labor market signals.
• USDJPY briefly reclaimed the 155 level, prompted by verbal interventions from Japanese officials concerned about "one-sided and sharp" FX movements. Finance Minister Katayama emphasized close monitoring with a high sense of urgency.
• GBP faced pressure from political uncertainty but later rebounded. Reports of potential tax increases on alcohol emerged, though no formal plans have been set.
• CHF continued to rise ahead of an anticipated US-Switzerland tariff reduction deal.
• EUR was unchanged following German CPI data and ECB commentary regarding potential rate steadiness into 2026.

Commodities:

• Gold steadied after nearly a 2% rise, hovering just below $4,200 and consolidating a four‑day rally as traders weighed an uncertain US outlook amid a data void, with lawmakers poised to end the shutdown but the White House warning October jobs and inflation may not be released; gold eased 0.1% to $4,192.82 an ounce, silver jumped as much as 4.8% and held near a record, while platinum edged lower and palladium was little changed.
• Oil extended its slide after Wednesday’s slump amid signs the long‑awaited surplus has arrived, with WTI nearing $58 after a drop of over 4% and Brent falling below $63, as OPEC—restoring idled capacity—said global supply outpaced demand in Q3.

Fixed income:

• US Treasuries opened higher and held gains, with yields ending near session lows, while a solid 10‑year auction left the 2s10s spread near its lows; Japan’s Ministry of Finance will auction ¥2.4 trillion September 2030 five‑year bonds after advisers urged a larger economic package than last year, and Australia will sell A$150 million of 2% inflation‑linked bonds due 21 August 2035 on 13 November.

For a global look at markets – go to Inspiration.

This content is marketing content and should not be considered investment advice. Trading financial instruments carries risks and historic performance is not a guarantee for future performance.
The instrument(s) mentioned in this content may be issued by a partner, from which Saxo receives promotion, payment or retrocessions. While Saxo receives compensation from these partnerships, all content is conducted with the intention of providing clients with valuable options and information.