Talks continue between Russia and Ukraine with Zelensky reporting room for compromise. The Fed meets this evening, with market's expecting a 25bp rate hike.
March 16, 2022
GBP/USD 1.3060 GBP/EUR 1.1877 EUR/USD 1.0996 USD/CAD 1.2719 EUR/CHF 1.03366 EUR/SEK 10.471 EUR/NOK 9.8168 EUR/DKK 7.4403 USD/ILS 3.2604 AUD/USD 0.7230 NZD/USD 0.6787 USD/SGD 1.3610 USD/JPY 118.31 USD/CNH 6.3623 USD/INR 76.26 EUR/ILS 3.5857 GBP/ILS 4.2578 USD/ZAR 15.0712
GBPCable recovered slightly over Tuesday's session to reach highs of 1.3089 before retreating to trade in the 1.3060 region as we print, up 0.19% this week. Market's will be paying close attention to the Federal Reserve release later this evening along with tomorrow's BOE decision.
Both central banks are expected to raise interest rates by 25 basis points, however investors will be focusing on the risk that the BOE could surprise with a bigger hike as well as on the Fed’s dot plot and quantitative easing plans.
Then FTSE trades up 1.41% as we print.EURECB official Guindos stated that normalization of monetary policy doesn't mean that they will rise rates immediately.
EURUSD was mixed over Tuesday's trading reaching highs of 1.1020 early London before retreating towards the close. EURUSD sits just below 1.10 as we print up 0.74% this week.
European stocks rally with the Euro Stoxx, CAC and DAX gaining 2.7%, 2.46% and 2.4% as we print.USDThe first Fed rate hike since 2018 is on the horizon - markets are expecting a 25bp hike today after Powell downplayed to congress the likelihood of a 50bp move. Following the 6pm GMT release, investors will be playing close attention to the dot plot, to see whether officials agree with what the market is currently pricing - seven hikes this year.
Pfizer and BioNTech sought emergency approval for second booster shots for people 65 and above.ASIA/PACIFICAsian equities rallied with the Hang Seng gaining as much as 9.08%, whilst the Nikkei and CSI gained 1.64% and 4.32% respectively.
WTI remained below $100.
Yuan got a boost after Saudi reported they may consider Yuan payments for oil sold in China.
New Zealand will remove its ban for foreign travelers, with the first arrivals allowed from April 12th.ILSILS gained some momentum vs the USD yesterday, reversing most of Monday's losses to sit in the 3.2616 region as we print, flat on the start of the week.Data & EventsSpain - House transactions
Italy - CPI
Russia - CPI
US - FOMC rate decisionRussia/UkraineUkraine and Russia continue talks today, as a key advisor to PM Zelensky called the negotiations difficult however said there was room to compromise. Putin said Ukraine isn't being "serious" about resolving the war.
Leaders from Poland, Czech Republic and Slovenia visited Kyiv for talks with Zelenzky, whilst Biden is expect to offer $1billion of military aid for Ukraine.
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