US 10-year touches 3%; Boris Johnson to address Ukrainian MPs; USDILS trades at highs not seen since Nov 2020.
May 3, 2022
GBP/USD 1.2535 GBP/EUR 1.1919 EUR/USD 1.0518 USD/CAD 1.2866 EUR/CHF 1.0287 EUR/SEK 10.3910 EUR/NOK 9.9111 EUR/DKK 7.4392 USD/ILS 3.3684 AUD/USD 0.7101 NZD/USD 0.6428 USD/SGD 1.3853 USD/JPY 130.21 USD/CNH 6.6812 USD/INR 76.6150 EUR/ILS 3.5428 GBP/ILS 4.2223 USD/ZAR 16.0610
Boris Johnson will become the first world leader to address the Ukrainian Parliament today. The UK also announced a further £300 million package of military aid.
Boris Johnson has also joined the push to convince British chip designer (Arm) to list on the LSE. Should the firm choose to list in New York it would be a heavy blow to the UK’s reputation.
The BoE is expected to raise interest rates by 0.25% to their highest level since 2009 in Thursday’s meeting.
GBPUSD trades up by 0.35% as we print.EUR
Italy has approved a 14-billion-euro aid package to help firms and consumers hit by surging energy prices.
The EU wants to step up cooperation with African countries to help replace imports of Russian natural gas. The aim is to reduce dependence on Moscow by almost two-thirds.
EURUSD trades flat currently, the euro is down -3.66% in the last month.USD
The US 10-year yield touched 3% yesterday for the first time in more than three years, as the market consolidates on the expectation of further rate hikes from the fed.
Fears grow from market participants that if inflation remains above 4% by year-end, the Fed may have to hit the brakes, increasingly the likelihood of recession. This comes as US manufacturing slowed below the estimate in April, at 55.4 (the consensus was 57.6)
The S&P500 closed 0.57% higher yesterday, with the NASDAQ also up 1.63%.ASIA/PACIFICThe RBA raised interest rates in an unexpected move. They raised the key rate 25bps to 0.35%, the first increase since 2010. This saw the Aussie dollar strengthen, advancing 0.8% against the Dollar.ILS
Israel will require all telecommunications companies to implement a cybersecurity program, after attempted cyber attacks jumped 137% in the first quarter compared to a year earlier.
USDILS continues to upwards surge trading at 3.37, levels not seen since 2020.Data & Events
Eurozone March PPI
French Budget Balance
UK April Manufacturing PMI
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