EUR/USD 1.12216
-0.036%
Gold 3322.33
0.497%
Oil 59.899
-0.040%
USD/JPY 145.579
-0.237%
GBP/USD 1.32263
-0.142%
GBP/JPY 192.553
-0.347%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
On May 9, Morgan Stanley issued a report stating that although the price of Ideal Autos (02015.HK) new L series has not been adjusted, the configuration has been significantly upgraded, which is in line with market expectations overall. However, the market is still discussing whether it is enough to cope with the fierce market competition only through the configuration and autonomous driving (AD) upgrade of the new L series without adjusting the suggested retail price. It remains to be seen whether monthly sales can return to the average level of about 50,000 units in the second half of the year. Morgan Stanley believes that the current market price is about less than 20 times the 2025 forecast price-to-earnings ratio, and the risk-return of the stock is attractive, especially after the release of the new L series on May 8 and the launch of the BEV model this summer. Although weak first-quarter results may become a pressure in the short term, the market has made reasonable expectations for this.On May 9, HSBC Research published a report, expecting Xiaomi (01810.HK) to perform better than expected in the first quarter of this year, with net profit expected to increase 1.39 times year-on-year to RMB 10 billion, mainly driven by a 50% year-on-year increase in IoT revenue, strong electric vehicle sales, and improved profit margins of various businesses. The bank expects the gross profit margins of IoT and electric vehicles to increase from 20.5% and 20.4% in the fourth quarter of 2024 to 23% and 21.4% in the first quarter of this year, respectively, mainly due to higher pricing power and optimized product portfolio. The bank raised Xiaomis target price from HK$70.4 to HK$73.5, maintaining a buy rating; and raised net profit forecasts for 2025 to 27 by 7%, 4% and 4% respectively. It is expected that orders for the electric car SU7 in May will normalize to more than 30,000 units, compared with a peak of 80,000 units in March, and believes that the YU7, which will be launched in June, will boost electric vehicle sales in the third quarter of this year.On May 9, Nomura issued a report stating that Hua Hong Semiconductor (01347.HK) reiterated its neutral rating and raised its target price by 116% from HK$16.4 to HK$35.4 due to strong local demand. However, although the groups pricing conditions have improved, the fixed cost burden may still exist, so the neutral rating is maintained. The report stated that Hua Hong Groups first-quarter revenue was in line with its guidance target, and the gross profit margin of 9.2% was lower than expected. Nomura believed that this may be due to the depreciation of the new plant. Due to the continued demand momentum, management predicts that the second-quarter revenue will increase by 3.5% quarter-on-quarter. Although Hua Hong Semiconductor believes that the price of 8-inch wafer foundry is under pressure (no price reduction yet), due to the shortage of supply, the price of 12-inch wafer foundry is expected to continue to rise. Nomura also believes that this is a good sign for the overall price dynamics of mature node wafer foundry in Asia.On May 9, Swedens Nordic Bank pointed out that the Federal Reserve is waiting for more clarity as risks rise. Both trade policy and the economic outlook are seen as extremely uncertain, and the Federal Reserve wants to wait for clearer results. The market interpreted this information as slightly hawkish and further reduced the possibility of a rate cut at the June meeting. We agree with this change in the market, but expect the Federal Reserve to ultimately focus on supporting economic growth and ignore the temporary rise in inflation. If long-term inflation expectations remain within a controllable range and consistent with the inflation target, the Federal Reserve should be able to ignore the temporary inflation shock caused by tariffs. There is also a possibility that the short-term impact of tariff uncertainty on the economy will be greater than currently expected. But for now, the Federal Reserve believes that the move will have limited impact on the economy, and there are some signs of progress in trade negotiations. Inflation is still above target and is expected to start rising again due to tariffs.Commerzbank plans to apply to the European Central Bank and German financial institutions for the next round of share buybacks at the beginning of the third quarter.

Price Analysis: AUD/USD Advances Toward 0.6740 Ahead Of PBoC's Decision

Alina Haynes

Apr 19, 2023 16:00

AUD:USD.png 

 

The AUD/USD pair strengthened to near 0.6740 after a gradual retracement. In light of the weakening U.S. dollar and the upward revision of China's growth rate forecast, the demand for Australian dollars was exceptional. The US Dollar Index (DXY) is exhibiting a dearth of volatility prior to the release of the Federal Reserve's (Fed) Beige Book.

 

The Australian Dollar remained active on Tuesday after the Reserve Bank of Australia (RBA) minutes were released. The RBA minutes revealed that policymakers actively debated a rate hike, but ultimately decided to maintain the current 3.6% rate. Philip Lowe, the governor of the Reserve Bank of Australia, stated that the central bank needs more time to compile information prior to taking action.

 

After a robust quarterly performance, forecasting agencies were enthusiastic about increasing their projections for China's Gross Domestic Product (GDP). In the future, the People's Bank of China's (PBOC) interest rate determination will be the primary event. Australia is China's greatest trading partner, and optimistic economic forecasts from China would benefit the Australian Dollar.

 

The AUD/USD exchange rate is exhibiting an Inverted Flag pattern on an hourly time frame. The Inverted Flag is a trend-following pattern that consists of a protracted consolidation followed by a decline. Participants prefer to enter an auction after a bearish bias has been established, and current vendors increase their position size during the consolidation phase of a chart pattern.

 

The 20-period Exponential Moving Average (EMA) is superimposed on the price of the asset at 0.6720, indicating lackluster performance.

 

Currently, the Relative Strength Index (RSI) (14) fluctuates between 40.00 and 60.00, indicating the absence of a possible trigger.

 

A future break above the March 22 high of 0.6759 will propel the asset toward the April 3 high of 0.6693. A breach above the latter would cause the asset to reach a new low on February 6 of 0.6855.

 

A breach of the April 10 low at 0.6620 would expose the Australian dollar to the March 10 low at 0.6564, followed by the round-number support at 0.6500, according to an alternative scenario.


Suggestion