Deutsche Bank strategists highlight sharp volatility in Brent Oil as Middle East ceasefire doubts resurface. Brent initially slumped over 13% to a four-week low near $95, then rebounded above $96 as concerns about Hormuz shipping and ceasefire durability persisted.
AUD/JPY extends its winning streak for the fourth successive session, trading around 111.70 during the European hours on Thursday. The currency cross gains as the Japanese Yen (JPY) weakens, with oil prices rebounding amid ongoing uncertainty surrounding the US-Iran ceasefire.
Greece Industrial Production (YoY) down to 1.8% in February from previous 5.3%
Spain 10-y Obligaciones Auction declined to 3.435% from previous 3.476%
Spain 3-y Bond Auction rose from previous 2.404% to 2.734%
The Pound Sterling edges lower against its major currency peers on Thursday, trading subduedly around 1.3400 against the US Dollar (USD) during the European trading session.
Spain 5-y Bond Auction up to 3.476% from previous 2.934%
Rabobank strategist Molly Schwartz notes that crude Oil’s initial sharp drop on the Iran ceasefire headlines has been only partially reversed, despite renewed tensions and the Strait of Hormuz re-closing.
ING’s Frantisek Taborsky expects the National Bank of Poland (NBP) to keep rates at 3.75% for an extended period, with markets already pricing out most further tightening.
The US Dollar (USD) has trimmed some losses to consolidate right above the 99.00 level on Thursday, after bouncing from lows at 98.50 on Wednesday. The safe-haven US Dollar has picked up as investors come to terms with the fragility of the ceasefire in Iran.
Gold (XAU/USD) extends the sideways consolidative price move through the first half of the European session on Thursday, though it manages to hold above the $4,700 mark and, for now, seems to have stalled the previous day's slide from a three-week high.
Commerzbank analyst Antje Praefcke says weaker-than-expected Swedish inflation does not give the central bank of Sweden, Riksbank a reason to change its stance.
