CURRENCY MARKET WRAP 

As of Wed, Apr 17th, Singapore Time zone UTC+8

Dollar Index, +0.14%, $97.07
USDJPY, -0.03%, $112.00
EURUSD, -0.21%, $1.1286
GBPUSD, -0.42%, $1.3044
USDCAD, -0.05%, $1.3357
AUDUSD, -0.13%, $0.7164
NZDUSD, -0.81%, $0.6708 

U.S. Treasuries finished on a lower note, pushing yields higher across the curve. The 2-yr yield increased two basis points to 2.41%, and the 10-yr yield increased four basis points to 2.59%. The U.S. Dollar Index increased 0.14% to 97.07. WTI crude rose 0.9% to $64.04/bbl.

In RBA Minutes, the central bank said that if inflation did not move higher and unemployment rose, a cut in interest rates would “likely be appropriate”. RBA cited, “Nevertheless, a lower level of interest rates could still be expected to support the economy through a depreciation of the exchange rate and by reducing required interest payments on borrowing, freeing up cash for other expenditure.” 

 

STOCK MARKET WRAP 
 

S&P500, +0.05%, 2,907.06
Nasdaq, +0.34%, 7,654.73
Nikkei Futures, +0.35%, 22,257.5   

S&P 500 increased 0.05% on Tuesday, as strong performances from the financial and semiconductor stocks offset pronounced weakness in the healthcare and real estate spaces. The benchmark index traded with modest gains throughout the day and briefly dipped into negative territory with 30 minutes left of trading where it found buying interest at the 2900 level.

The S&P 500 financial sector (+1.4%) was the day’s outright leader following earnings beats from Bank of America (BAC 29.88, +0.04, +0.1%), BlackRock (BLK 466.54, +14.68, +3.3%), and Progressive (PGR 77.26, +5.00, +6.9%). BAC had declined as much as 2.8% intraday after the company missed revenue estimates and warned of a slowdown in net interest income in FY19. The turnaround in shares helped strengthen the sector’s performance.

The Philadelphia Semiconductor Index (+3.2%) was another area of strength during the day, and many of its components helped lift the S&P 500 information technology sector (+0.5%). The group received a late-session boost following news that Apple (AAPL 199.25, +0.02, unch) and Qualcomm (QCOM 70.45, +13.27, +23.2%) settled their royalty dispute for a currently undisclosed amount. Prior to the news, shares of Qualcomm were little changed and finished 23.2% higher after the news.