HSBC analysts note recent Japanese Yen (JPY) weakness is consistent with higher energy prices and Japan’s net Oil and gas deficit, but warns this macro backdrop could shift.
Annual inflation in Germany, as measured by the change in the Consumer Price Index (CPI), climbed to 2.7% in March (preliminary estimate) from 1.9% in February, Germany's Destatis reported on Monday. On a monthly basis, the CPI rose by 1.1% following the 0.2% increase recorded in February.
Societe Generale analysts note the INR rallied over 1% after RBI intervention and new limits on banks’ net open FX positions, but the currency remains down 4% this month amid heavy FPI outflows.
Germany Consumer Price Index (YoY) increased to 2.7% in March from previous 1.9%
Germany Harmonized Index of Consumer Prices (YoY) in line with expectations (2.8%) in March
Germany Harmonized Index of Consumer Prices (MoM) in line with expectations (1.2%) in March
Germany Consumer Price Index (MoM) above expectations (0.9%) in March: Actual (1.1%)
ING’s Ewa Manthey and Warren Patterson note Aluminium has rallied after Iranian attacks damaged major producers EGA and Alba, compounding existing curtailments in Gulf capacity.
US President Donald Trump said on Monday that the United States (US) is engaged in “serious discussions” with what he described as a “new and more reasonable regime” in Iran, while warning that Washington could launch massive strikes on the country’s key energy infrastructure if a deal is not reache
Danske Research Team highlights that escalating Middle East tensions and US policy signals are lifting Oil prices, with Brent Crude trading near 115 USD/bbl in early Asian dealings.
BNY’s Head of Markets Macro Strategy Bob Savage points out that the Euro has been under pressure, with EUR/USD near 1.15 as EU and Euro area economic sentiment indices fall further below 100.
USD/CAD trades around 1.3910 on Monday at the time of writing, up 0.12% on the day and extending its winning streak to six consecutive days. The pair is supported by a stronger US Dollar (USD) amid rising geopolitical tensions in the Middle East.
