Global Market Quick Take: Asia – September 18, 2023 Global Market Quick Take: Asia – September 18, 2023 Global Market Quick Take: Asia – September 18, 2023

Global Market Quick Take: Asia – September 18, 2023

Macro 4 minutes to read
APAC Research

Summary:  Nvidia, Amazon, Microsoft, and Adobe declined, weighing on key indices. Nasdaq 100 dropped 1.8%, S&P500 lost 1.2%. The 10-year Treasury yield surged to 4.33% amid Bunds and Gilts selloff due to hawkish ECB comments and higher BoE inflation expectations. USDJPY rose towards 148 as US yields climbed. USDCAD tested 1.35 amid rising oil prices. USDCNH rebounded to 7.2750 from 7.2596 on PBOC's liquidity measures. Strong US data and increased Chinese stimulus lifted Brent oil prices near $95/barrel. A busy central bank week ahead with the Fed, BOE, and BOJ in focus.

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

US Equities: Technology stocks pulled down the market. Adobe shares dropped by 4.2% after earnings, while Nvidia, Amazon, and Microsoft each declined by 3%, 3%, and 2.5%, respectively, putting pressure on the indices. The Nasdaq 100 decreased by 1.8% to 15,202, and the S&P500 lost 1.2%, settling at 4,450. We believe that the hype around generative AI has led to a rush of interest in the technology sector, but it will take much longer than current stock prices suggest for commercialization to fully materialize. The VIX rebounded to 13.79, rising from its year-low point due to a significant volume of options expiring.

Fixed income: Treasuries sold off during London hours, following the sharp increases in yields of German Bunds and UK Gilts amid hawkish ECB comments and higher Bank of England inflation expectations. Selling continued after a strong 20-point rebound in the Empire State manufacturing index, indicating a return to expansion. The 2-year yield rose by 2 bps to 5.03%, while the 10-year yield increased by 5 bps to 4.33%.

China/HK Equities: Reactions to the 25bp reduction in the reserve requirement ratio, a net injection of RMB 191 billion in 1-year medium-term lending to banks, and stronger industrial production and retail sales were subdued. Investors remained unconvinced and considered the incremental positive news in both policies and economic data insufficient. The 24% Y/Y decline in 30-city new home sales so far in September and the suspension of offshore debt payments by developer Sino Ocean poured some cold water on the initial excitement about regulatory easing in the property market. The Hang Seng Index edged up 0.8%, while the CSI300 slid 0.7%. Amid a light economic data calendar, investors may focus on the high-frequency data on property transactions and closely watch for any spillover effect from Zhongrong International Trust. 

FX: Dollar closed in a ninth straight week of gains even as AUD and CAD tried to make a comeback last week. Heavy central bank week ahead with Fed, PBoC, BOE and BOJ on the radar along with other major central banks. USDJPY rose back towards 148 as US yields surged. EURUSD slid below 1.07 last week on ECB’s dovish hike but a small rebound to 1.0660+ levels was seen on Friday. GBPUSD still below 1.24 with the path for BOE is also extremely complicated. USDCAD testing 1.35 as oil prices continue to rise. USDCNH back at 7.2750 from lows of 7.2596 after PBOC’s liquidity enhancing measures on Friday.

Commodities: US data resilience and step higher in China’s stimulus measures boosted oil prices further on Friday with Brent attempting to move towards $95/barrel. With supply outlook remaining tight into the end of the year, demand outlook becomes key for months ahead. Meanwhile, diesel supply is also running short, risking another uptick in inflation. A host of central bank meetings ahead in the week will be key to whether oil breaks above $95 barrier. Gold surged on Friday to test $1930 support showing resilience in the face of higher US yields, and Denver Gold Forum this week will be key along with central bank commentaries.


  • China’s Industrial production grew 4.5% Y/Y and retail sales increased 4.6% Y/Y in August, both surpassing the levels in July as well as expectations.
  • US industrial production remained strong with headline up 0.4% MoM vs. 0.1% expected, but slowing from 0.7% last month (revised down from 1.0%) and confirming that manufacturing is slowing as hinted by ISM surveys as well. UoM sentiment survey showed some weakening conditions as headline dipped to 67.7 from 69.5 (below 69 expected) with current conditions at 69.8 (exp 74.8) and expectations 66.3 (exp 65).
  • Zhongrong International Trust confirmed that it was unable to make payments of some trust products and it entered service agreements to engage Citic Trust and CCB Trust to manage its operations. It highlights the risk in the China shadow banking sector.

Macro events: Japan holiday, Canada August PPI exp 0.2% MoM (prev 0.4%)

In the news:

  • UAW strike against automakers enters third day, no resolution seen (Reuters)
  • US and China officials meet in Malta ahead of possible Biden-Xi summit (FT)
  • Uranium prices hit 12-year high as governments warm to nuclear power (FT)


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

For a global look at markets – tune into our Podcast.

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


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 Inspiration Disclaimer and (v) Notices applying to Trade Inspiration, 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.

Trading in financial instruments carries risk, and may not be suitable for you. Past performance is not indicative of future performance. 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 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 Markets or its affiliates.

Saxo Markets
88 Market Street
CapitaSpring #31-01
Singapore 048948

Contact Saxo

Select region


Saxo Capital Markets Pte Ltd ('Saxo Markets') is a company authorised and regulated by the Monetary Authority of Singapore (MAS) [Co. Reg. No.: 200601141M ] and is a wholly owned subsidiary of Saxo Bank A/S, headquartered in Denmark. Please refer to our General Business Terms & Risk Warning 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. Trading in leveraged products such as Margin FX products may result in your losses exceeding your initial deposits. Saxo Markets does not provide financial advice, any information available on this website is ‘general’ in nature and for informational purposes only. Saxo Markets does not take into account an individual’s needs, objectives or financial situation.

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 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 are not intended for residents of the United States, Malaysia and Japan. Please click here to view our full disclaimer.

This advertisement has not been reviewed by the Monetary Authority of Singapore.

Apple and the Apple logo are trademarks of Apple Inc, registered in the US and other countries and regions. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.