Fed could cut balance sheet by $95 billion a month. Italy to support ban on Russian gas imports if EU unites. Ruble claws back to pre-invasion levels.
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FX Rates
April 7, 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.
Source: BloombergGBP/USD 1.3100 GBP/EUR 1.2019 EUR/USD 1.0900 USD/CAD 1.2542 EUR/CHF 1.0160 EUR/SEK 10.3043 EUR/NOK 9.5813 EUR/DKK 7.4377 USD/ILS 3.2281 AUD/USD 0.7490 NZD/USD 0.6908 USD/SGD 1.3605 USD/JPY 123.76 USD/CNH 6.3660 USD/INR 75.8525 EUR/ILS 3.5185 GBP/ILS 4.2291 USD/ZAR 14.7060
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GBP
The UK’s tax system still favours the 500,000 highest earning people, the institute for fiscal studies has found.
The UK’s new energy security strategy targets a tripling of nuclear generation capacity by 2050 and accelerates the construction of offshore wind farms. The UK is also willing to send armoured vehicles to Ukraine.
GBPUSD currently trades up 0.24%, the FTSE 100 trades down slightly by 0.1% intraday.
EURThe ECB follows the Fed with the release of its March minutes today, with the market closely watching for clues on the timing of rate hikes later this year, as the ECB attempts to balance fighting inflation whilst encouraging economic growth with its monetary policy.
Polls show Emmanuel Macron’s lead slipping in the French Presidential election. The gap between Macron and Le Pen is now polled at 56% vs 46%, narrowing from 60% vs 40% last month.
EURUSD trades higher by 0.1%, The STOXX 600 has opened higher up 0.51% as we print.
USDYesterday’s release for the FOMC’s march minutes hinted that the Fed would approve plans to shrink its bond holdings in May. The minutes signalled that the balance-sheet will be allowed to runoff by $95 billion a month. It also confirmed that many fed members would have opted for a 0.5% hike in March had Russia not invaded Ukraine.
Biden has announced that sanctions will cripple Russia’s economy for years, whilst saying the war could continue for a long time. Anthony Blinken told NBC that war crime probes may take years.
US equities slipped yesterday; the NASDAQ closed down -2.22%.
ASIA/PACIFICSri Lanka faces $8.6 billion worth of debt payments this year as economic and political turmoil cast doubt on its ability to pay - $2 billion is needed in dollar, which will only serve to compound a nationwide dollar shortage.
China’s Foreign reserves are expected to have marginally contracted over March. Taiwan will host a visit from Nancy Pelosi on Sunday.
ILSUSDILS trades down -0.13% intraday, with the dollar slowly rebounding against the shekel over recent days.
Data & EventsUS – Jobless claims
ECB – March Minutes
DE – Feb Industrial production
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