March 15, 2022
GBP/USD 1.3021 GBP/EUR 1.1840 EUR/USD 1.0998 USD/CAD 1.2857 EUR/CHF 1.0315 EUR/SEK 10.5630 EUR/NOK 9.9716 EUR/DKK 7.4408 USD/ILS 3.2874 AUD/USD 0.7188 NZD/USD 0.6745 USD/SGD 1.3660 USD/JPY 117.92 USD/CNH 6.3998 USD/INR 76.6600 EUR/ILS 3.6141 GBP/ILS 4.2781 USD/ZAR 15.1675
UK unemployment has fallen below its pre-pandemic level for the first time, with the rate falling to 3.9% in the three months to January. 275,000 jobs were added in February, more than doubling expectations, whilst the redundancy rate also fell to record lows.
Sterling has recovered slightly this morning after testing the key 1.3000 level against the Dollar during the Asian session. The pair trades 0.17% higher at time of writing. Declines against the Euro have continued with GBPEUR down a further 0.3% this morning. The FTSE has tumbled on the London open, down 105 points as we print.EUR
European stocks have declined as investors focus shifts to tomorrows Federal Reserve policy decision and concerns grow over the impact of the Ukraine/Russia conflict on growth and inflation across the bloc. The Stoxx Europe 600 lost 1% as of 08:01 GMT. Miners and energy sectors let declines as commodities retreated.
Markets appear to be taking an optimistic approach to ongoing peace talks, with the Euro climbing 0.5% against the Dollar to trade above 1.1000 during the Asian session. Traders expect gains to be limited, as investors prepare for further policy divergence following tomorrows Fed meeting.USD
US index futures fluctuated as the selloff in Chinese shares rocked global markets. US treasury yields extended gains with two and five year notes leading advances. The DXY trades 0.23% lower this morning, as positive sentiment over the Ukraine/Russia conflict grows.
Traders have increased estimates for the number of rate hikes from the Fed this year, at one stage yesterday fully pricing in seven 25bps hikes this year.ASIA/PACIFIC
Chinese stocks suffered a further sell-off during the Asian session amid growing concerns about the country’s relationship with Russia, ongoing regulatory pressures and increasing lockdown measures. The Hang Seng slumped over 6%, set to close at decade lows. The PBOC held interest rates and added further stimulus, despite several economists forecasting a cut.
The yen has declined to fall to 5-year lows against the Dollar, as investors digest the likelihood of further policy divergence ahead of tomorrows Fed. USDJPY trades at 117.82 at time of writing.ILSUSDILS continues to climb this morning, trading 1.1% higher on the week so far. The pair is trading at 3.2870 as we print.Data & EventsUK - Employment data
France - Inflation Rate
Germany/Euro Area - ZEW Economic Sentiment
US - PPI
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