<p>Headlines:</p><ul><li><a target=“_blank“ href=“https://www.forexlive.com/news/as-the-banking-turmoil-ebbs-what-is-the-fed-pricing-looking-like-20230329/“>As the banking turmoil ebbs, what is the Fed pricing looking like?</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/centralbank/ecbs-lane-rates-must-rise-if-banking-tension-has-no-or-fairly-limited-impact-20230329/“>ECB’s Lane: Rates must rise if banking tension has no or ‚fairly limited‘ impact</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/centralbank/ecbs-kazimir-we-agreed-not-to-give-guidance-about-may-policy-meeting-20230329/“>ECB’s Kazimir: We agreed not to give guidance about May policy meeting</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/centralbank/bojs-kuroda-japan-is-closer-than-before-to-sustainably-hit-2-inflation-target-20230329/“>BOJ’s Kuroda: Japan is closer than before to sustainably hit 2% inflation target</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/news/germany-april-gfk-consumer-confidence-295-vs-292-expected-20230329/“>Germany April GfK consumer confidence -29.5 vs -29.2 expected</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/news/france-march-consumer-confidence-81-vs-81-expected-20230329/“>France March consumer confidence 81 vs 81 expected</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/news/uk-february-mortgage-approvals-4354k-vs-4050k-expected-20230329/“>UK February mortgage approvals 43.54k vs 40.50k expected</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/news/us-mba-mortgage-applications-we-24-march-29-vs-30-prior-20230329/“>US MBA mortgage applications w.e. 24 March +2.9% vs +3.0% prior</a></li></ul><p>Markets:</p><ul><li>EUR leads, JPY lags on the day</li><li>European equities higher; S&P 500 futures up 0.9%</li><li>US 10-year yields down 1 bps to 3.558%</li><li>Gold down 0.5% to $1,963.49</li><li>WTI crude up 1.0% to $73.96</li><li>Bitcoin up 3.6% to $28,319</li></ul><p style=““ class=“text-align-justify“>It was a light session in terms of headlines as markets are still coming to terms with the aftermath of the banking turmoil.</p><p style=““ class=“text-align-justify“>Equities nudged higher after a bit of a hiccup in Wall Street yesterday while bond yields initially moved up before coming down mid-way through European morning trade. In FX, the dollar sits a bit more mixed after having held slight gains at the start of the session.</p><p style=““ class=“text-align-justify“>European stocks are enjoying a good start to the day, pulling higher after a positive open, with gains also observed in US futures with tech sentiment rebounding.</p><p style=““ class=“text-align-justify“>Meanwhile, European and US bond yields were initially higher but erased that advance to fall lower, hinting at a push and pull as traders are still sorting out their feet ahead of month-end and quarter-end trading. There are also bigger factors to consider, as outlined <a target=“_blank“ href=“https://www.forexlive.com/news/bond-yields-trip-lower-as-traders-continue-to-reassess-the-outlook-20230329/“ target=“_blank“ rel=“follow“>here</a>.</p><p style=““ class=“text-align-justify“>Looking over to major currencies, the yen is the laggard as it builds on losses from Asia trading. I mentioned <a target=“_blank“ href=“https://www.forexlive.com/news/dollar-holds-slightly-higher-so-far-on-the-day-20230329/“ target=“_blank“ rel=“follow“>here</a> how it looks to be a catch up play to yields after USD/JPY did drop yesterday, with the pair rising from 131.70 to 132.20 in European trading – now up nearly 1% on the day.</p><p style=““ class=“text-align-justify“>Elsewhere, EUR/USD was choppy as it fell slightly to 1.0820 before climbing back up to sit 0.2% higher at 1.0865 at the moment. GBP/USD also saw a similar swing from 1.2305 to 1.2350 levels at the moment, up 0.1% on the day.</p><p style=““ class=“text-align-justify“>The antipodeans are among the laggards, with AUD/USD down 0.4% to 0.6680 and NZD/USD down 0.2% to 0.6240 as both currencies erase their advance from yesterday despite the better risk mood.</p><p style=““ class=“text-align-justify“>As much as market players would like to latch on to a theme to build something with, it looks like the potential mess involving month-end and quarter-end is preventing any real convictions for the time being.</p>
This article was written by Justin Low at www.forexlive.com.