1. Asian Shares Open Lower Amid Weak Demand in China: Markets Wrap

    (Bloomberg) — Asian stocks opened lower following data that showed signs of slack in China and news that US President Joe Biden plans to raise tariffs on some goods from the world’s second-largest economy. Equity benchmarks in Australia and Japan declined, as did Hong Kong futures. US contracts also edged lower after the S&P 500 struggled to gain traction.

  2. Bond Traders Betting on Fed Cuts Have Reason to Overlook EM Asia

    (Bloomberg) — Emerging Asian bonds may have less room to rally compared to their global peers as central banks in the region are unlikely to embark on aggressive interest-rate cuts. Inflation-adjusted yields in emerging Asian nations are the lowest globally relative to their historical performance due to slower disinflation.

  3. Nvidia Rivals Gold as Shield Against Inflation: MLIV Pulse

    (Bloomberg) — The biggest US tech stocks are not only a bet on innovation but also a possible hedge against inflation, according to some respondents in the latest Bloomberg Markets Live Pulse survey. Gold, the haven of choice for decades, is still seen as the best safeguard against the risk of rising prices, according to 46% of survey participants.

  4. Oil Edges Lower as Iraq’s Mixed Messages Put Spotlight on OPEC+

    (Bloomberg) — Oil edged lower as traders looked ahead to an OPEC+ meeting on supply policy, with Iraq giving out mixed messages about its stance. Global benchmark Brent fell toward $82 a barrel after losing 1.3% on Friday, while West Texas Intermediate was below $78. Iraqi Oil Minister Hayyan Abdul Ghani initially said at the weekend that Baghdad had cut production.

  5. Putin Names Economist as Defense Minister in Surprise Reshuffle

    (Bloomberg) — Vladimir Putin replaced his long-serving defense minister with a trained economist in an unexpected change of guard that signals the focus on growing the Russian war economy more than two years after the invasion of Ukraine. Putin put forward his former economy aide and First Deputy Prime Minister Andrey Belousov, 65, to take over from Sergei.

  6. Biden to Quadruple Tariffs on China EVs, Offer Solar Exclusions

    (Bloomberg) — President Joe Biden will quadruple tariffs on Chinese electric vehicles and sharply increase levies for other key industries this week, unveiling the measures at a White House event framed as a defense of American workers, people familiar with the matter said. Biden will hike or add tariffs in the targeted sectors after nearly two years of review.

  7. Australian Treasury Sees Inflation Hitting RBA Target in ‘24

    (Bloomberg) — Australia’s Treasury is forecasting that inflation could return to the central bank’s target band before the end of 2024 — earlier than either the government or the bank previously predicted — as part of its upcoming budget. Its outlook for the 2024/25 financial year remains at 2.75%, but the Treasury now expects inflation to fall within the RBA’s target band.

  8. Global Chips Battle Intensifies With $81 Billion Subsidy Surge

    (Bloomberg) — Superpowers led by the US and European Union have funnelled nearly $81 billion toward cranking out the next generation of semiconductors, escalating a global showdown with China for chip supremacy. It’s the first wave of close to $380 billion earmarked by governments worldwide for companies like Intel Corp. and Taiwan Semiconductor Manufacturing Co. to boost.

  9. Sunak Attempts to Re-Frame UK Election With Focus on Security

    (Bloomberg) — Rishi Sunak will pitch himself as the best candidate to achieve a “more secure future” for Britain in a political speech designed to re-capture the narrative ahead of the UK general election, just over a week after his party suffered heavy losses in local votes.

  10. Cooling Core CPI Will Offer Minimal Relief to the Fed: Eco Week

    (Bloomberg) — Underlying US inflation probably moderated in April for the first time in six months, offering a ray of hope that price pressures will start to ease again after a string of upside surprises. The core consumer price index, which excludes food and fuel, is seen rising 0.3% from a month earlier after 0.4% advances throughout the first quarter.

  11. ANZ Group Says Regulator Investigating Australia Bond Sale

    (Bloomberg) — ANZ Group Holdings Ltd. said Australian regulators are investigating the firm’s execution of a government bond sale last year. The bank said the inquiries by the Australian Securities and Investments Commission relate to the issuance of 10-year Treasury bonds by the Australian Office of Financial Management, according to a statement from ANZ Group Monday.

  12. Taiwan Semiconductor Manufacturing Co. saw April sales jump 60% to NT$236 billion ($7.3 billion) thanks to sustained artificial intelligence demand and the beginnings of a recovery in consumer electronics.

    The world’s largest contract chipmaker is running well ahead of estimates for revenue growth in the current quarter, after sales increased by 34.3% in March. The global smartphone industry returned to growth over the first three months of the year, including in the highly competitive Chinese market, which may drive orders for TSMC’s traditional mainstay of mobile chips. US-traded shares were up 4.5% in New York on Friday. TSMC’s board approved a cash dividend of NT$4 per share, the company also announced on Friday.

  13. Akamai shares fell 11% on Friday, after its forecast adjusted earnings per share for the second quarter missed the average analyst estimate. Analysts note weakness in the infrastructure software company’s content-delivery network business.

    FIRST QUARTER RESULTS: Revenue $987.0 million, +7.8% y/y, estimate $989.2 million. Security revenue $490.7 million, +21% y/y, estimate $478.8 million. Delivery revenue $351.8 million, -11% y/y, estimate $371.4 million. Compute revenue $144.5 million, +25% y/y, estimate $139.3 million. Adjusted EPS $1.64 vs. $1.40 y/y, estimate $1.61. SECOND QUARTER FORECAST: Sees adjusted EPS $1.51 to $1.56, estimate $1.63. Sees revenue $967 million to $986 million, estimate $996.7 million. Sees adjusted operating margin 28% to 29%, estimate 29.6%.

  14. Mettler-Toledo shares surged 17% after the life sciences company reported net sales for the first quarter that exceeded Wall Street’s estimates.

    FIRST QUARTER RESULTS: Net sales $925.9 million, -0.3% y/y, estimate $879.7 million. Adjusted EPS $8.89 vs. $8.69 y/y, estimate $7.65. Adjusted operating income $267.3 million, +0.3% y/y, estimate $229.4 million. SECOND QUARTER FORECAST: Sees adjusted EPS $8.90 to $9.05, estimate $9.36.
    YEAR FORECAST: Sees adjusted EPS $39.90 to $40.40, saw $39.60 to $40.30, estimate $39.91.

  15. Asia markets mixed as investors assess China inflation data, await Japan GDP print

    Asia-Pacific markets were mixed Monday as investors assessed China’s stronger-than-expected April inflation data. China’s consumer price index climbed 0.3% year on year, beating Reuters estimates of a 0.2% rise. The producer price index, however, fell 2.5% year on year, more than the estimated 2.3% drop. The data highlight for the week will be Japan’s first-quarter GDP, which is expected to have contracted an annualized 1.5%, according to a Reuters poll, likely jeopardizing the Bank of Japan’s plans to raise interest rates.

  16. Stock futures are slightly up after Dow’s best week of the year; investors look toward inflation data
    Stock futures were slightly up on Monday morning, with Wall Street looking toward fresh inflation data this week.

    Futures tied to the S&P 500 rose 0.1%, while Nasdaq 100 futures climbed 0.21%. Dow Jones Industrial Average futures rose 3 points, or 0.01%. The 30-stock Dow is coming off of its eighth-straight winning session on Friday as well as its best week of the year.

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