Financial markets again braced for fallout from Russia demanding rubles for payment on energy contracts. The price of oil is down 5% after the Biden administration said it is considering releasing one million barrels of oil daily to combat high energy costs and inflation overall. The dollar is up after having significant losses the past two days and remains up 1.5% on the year.
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FX Rates
March 31, 2022Rates are not real time. Rates are today's indicative mid-market rates as of time of publishing, which may vary. Please contact SVB for a current quote.
EUR/USD 1.1090 GBP/USD 1.3140 USD/CAD 1.2520 AUD/USD 0.7501 USD/JPY 121.62 USD/CNH 6.3480 USD/ILS 3.1861 USD/MXN 19.9122 USD/CHF 0.9239 USD/INR 75.7887 USD/BRL 4.7405 USD/SGD 1.3541 USD/DKK 6.7071 USD/SEK 9.3422 USD/NOK 8.7442
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USD
The dollar surged higher after Putin’s comments on Moscow TV saying gas contracts must be paid in rubles – something the Europeans have already said is not possible. The US PCE Deflator for February came in at 6.4% which was in line with expectations and slightly ahead of January’s 6.0%. Initial Jobless Claims for week ended March 26 were 202K vs the 196K expected.
The US announces it is considering a release of a million barrels a day, from its reserves, sending oil prices plummeting.
GBPThe British pound was flat against the US dollar with GDP growth showing signs of stagnation rising by only 0.1% over March.
EURThe euro is down as the bullish sentiment for the Common Currency faded over the past two trading sessions. High inflation on the continent and positive vibes of Russian/Ukrainian war being “de-escalated” gave way to month-end flows and the reality of continued Russian shelling of Ukrainian cities.
CPI data for all of Euroland will be released tomorrow and watched carefully for signs of runaway inflation.CADThe Canadian dollar lost ground to the US dollar as the Biden administration says it may release 1 million barrels of oil each day to combat high energy prices. The loonie traded below 1.25 for much of the week and is now firmly over that level.
ASIA/PACIFICThe Chinese renminbi rose despite weaker than expected PMI data for March. China’s manufacturing PMI slipped to 49.5, lower than expectations. The lockdowns in key manufacturing hubs this past week were only partially captured in the March data.
Japan’s industrial outlook slipped by 0.1%, below estimates of 0.5%. The yen is flat today after having lost 6% in the month of March as the Bank of Japan's easy money policies showed in stark contrast to tightening in most of the developed world.
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| Source: Bloomberg | |
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