Average cash earnings in Japan increased by 0.6% year-on-year in March 2024, slowing for the second straight month following a 1.8% gain in February. The latest reading was also the lowest since September last year. Moreover, the country’s nominal wage growth lagged behind the 2.6% core consumer inflation rate in March, marking two straight years of negative inflation-adjusted real wages which fell 2.5% last month. The following industries contributed the most to the wage rise: finance & insurance (7.2%), living-related & personal services & amusement services (5.4%) and information & communications (4.9%). Meanwhile, wages declined in mining & quarrying of stone & gravel (-11.6%), accommodations, eating & drinking services (-8%) and scientific research, professional & technical (-2.3%).

South Korea posted a current account surplus of $6.93 billion in March 2024, up from a surplus of $6.93 billion in a month earlier. It marked the 11th straight month of logging a surplus amid increased trade surplus and dividend income. The goods account recorded an 8.09 billion dollar surplus as exports increased annually by 3% to 58.27 billion dollars and as imports decreased by 13.1% to 50.18 billion dollars, both compared to one year earlier. The services account posted a 2.43 billion dollar deficit owing to deficits in the use of intellectual property and travel accounts. The primary income account recorded a 1.83 billion dollar surplus due to an increase in the income on equity. The secondary income account recorded a 0.56 billion dollar deficit.

Stocks in the US finished a choppy session mixed on Wednesday, as the S&P 500 ended muted, the Dow Jones rose 171 points to extend its winning streak to six days, the longest since December. Meanwhile, Nasdaq edged lower by 0.2%, due to a sell-off in shares of Tesla and Intel. Investors remained focused on corporate earnings reports and the Federal Reserve's policy outlook, especially after receiving mixed comments from several central bank officials. In corporate news, shares of Uber sank 5.7% after the company missed on earnings. Tesla also fell 1.7% after reports that U.S. prosecutors are examining whether Tesla committed securities or wire fraud by misleading investors and consumers about its electric vehicles’ self-driving capabilities. Intel declined 2.2% after the US revoked China export licenses. Conversely, Lyft soared 7.1% after a revenue beat and Arista Networks jumped 6.3% on strong earnings. After the bell, Airbnb is set to report quarterly results.

The Riksbank lowered its key policy rate by 25bps to 3.75% on May 8th 2024, in line with market expectations, saying inflation is approaching the target while economic activity is weak. It is the first reduction in borrowing costs since 2016, following the tightening campaign that started two years ago. Policymakers added that if the outlook for inflation still holds, the policy rate is expected to be cut two more times during the second half of the year. However, the outlook for inflation is uncertain and risks that may cause inflation in Sweden to rise again are primarily linked to the strong US economy, the geopolitical tension and the krona exchange rate. The adjustment of monetary policy going forward should therefore be characterised by caution, with gradual cuts to the policy rate.

Retail sales in Brazil remained unchanged in March 2024, following a 1% increase in the previous month, opposing mark expectations of a 0.1% decrease. Retail sales volume declined month-on-month for fuels & lubricants (-0.6%), food products & beverages (-0.3%), furniture & appliances (-2.4%), books, newspaper & stationary (-1.1%), equipment for office, IT & communication (-8.7%) and vehicles & motorcycle and their parts (-1.4%). In contrast, sales were higher for pharmaceuticals (+1.4%). Compared to the same month from previous year, retail sales rose by 5.7%.

The annual inflation rate in Chile rose to 4 percent in April of 2024 from 3.7 percent in the previous month. On a monthly basis, consumer prices edged up 0.5 percent, slightly up from a 0.4 increase in the previous month and above market forecasts of a 0.35% rise. Notably, the largest monthly increases were recorded for transportation (+1.1%), miscellaneous goods & services (+0.9%), household equipment & maintenance (+0.8%), food & non-alcoholic drinks (+0.7%), and housing & utilities (+0.7%). On the other hand, costs declined for clothing & footwear (-1.9%), alcoholic beverages & tobacco (-0.5%), and insurance & financial services (-0.2%).