[Morning Report] US interest rate reduction observations retreat further, Israel adjusts with Arab countries for limited retaliation against Iran due to Fed chairman's remarks

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Observations to lower US interest rates have receded further, due to FRB chairman's remarks - 38 bp factored in within the year
In the swap market on the 16th, interest rate cut observations receded further in response to US Federal Reserve (FRB) Chairman Powell's remarks.
Related articles:FRB Chairman Powell suggests procrastinating on starting interest rate cuts - inflation is deep-rooted
FRB Vice Chairman Jefferson expects inflation to slow even if interest rates are maintained

Is Israel coordinating with Arab countries for limited retaliation
Israel has begun leveling ground for limited retaliation against Iran. According to the Israeli public broadcaster KAN, it was reported that the government of the same country will act in a way that does not endanger Arab countries by the 16th against countries that have diplomatic relations, such as Egypt, Jordan, and the United Arab Emirates (UAE).

The sharp rebound of yen suggests heightened caution against intervention risks - recall last October
Regarding the sudden rebound of yen against the dollar in the New York foreign exchange market on the 16th, Nomura Securities expressed the view that this is because market vigilance is increasing against the risk of intervention by the Japanese authorities, and there is a high possibility that it is not the result of intervention by the authorities.
Related articles:The world “freezes” due to a strong dollar and rising US interest rates, and Japan is unable to move - Mr. Elarian

BoFA, bad debt loss and amortization more than expected in January-March - stock price decline
$Bank of America (BAC.US)$Costs increased from January to March (first quarter), and debt loss and amortization of bad debts exceeded analysts' expectations. Although the trading business was doing well, the content did not satisfy investors, and stock prices fell.
Related articles:Morgan Stanley increases profit by 14% — trading revenue exceeds expectations

The six major car companies have slow profit growth rates and hybrids and North America
$Toyota Motor (7203.JP)$The profit growth rate of the six major car manufacturers is likely to slow down in 2024. Production grew in fiscal year 23 due to mitigation of parts shortages, and the depreciation of the yen was also a tailwind, and it seems that each company secured a drastic increase in profit. In fiscal year 24, production increases from the previous fiscal year were limited, and increases in labor costs etc. became a burden. The way to increase profits seems to be hybrid vehicles (HVs) and North American sales.
Related articles:Ford cuts electric pickup price by 7.5% due to sluggish EV demand

Mr. Wood's flagship ETF hits 5-month low - Tesla's decline drives it down
Kathy Wood's flagship exchange-traded fund (ETF) price hit a 5-month low. Top integrated electric vehicle (EV) manufacturers, $Tesla (TSLA.US)$The price has dropped. Investors' concerns about future growth have intensified due to a series of personnel cuts.
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