The announcement of a two-week ceasefire in Iran triggered a relief rally during Wednesday’s Asian trading session, sending the safe-haven US Dollar (USD) tumbling against its main peers.
BNY's Head of Markets Macro Strategy Bob Savage notes Eurozone producer prices fell on energy weakness while ex‑energy pressures stayed positive, and retail sales showed modest annual growth despite monthly softness.
United States (US) President Donald Trump said on Truth Social on Wednesday that the US will work closely with Iran through a "very productive regime change."
Commerzbank’s Carsten Fritsch reports that Gold jumped up to 3% to USD 4,855 per ounce after the 14‑day Middle East ceasefire, behaving unlike a classic safe haven. The move is linked to lower Oil prices, reduced inflation risks and softer rate expectations, which have pushed bond yields down.
TD Securities analysts review the latest Reserve Bank of New Zealand (RBNZ) decision, noting the cash rate was held at 2.25% while inflation forecasts were revised sharply higher for Q1 and Q2.
The Australian Dollar (AUD) is trading higher against the US Dollar (USD) for the third consecutive day on Wednesday, boosted by investors’ optimism about the ceasefire in Iran.
United States MBA Mortgage Applications up to -0.8% in April 3 from previous -10.4%
The Indian Rupee (INR) jumps to a fresh over three-week high against the US Dollar (USD) on Wednesday. The USD/INR pair slides to near 92.30 as the US Dollar weakens and global oil prices nosedive, following a temporary ceasefire between the United States (US) and Iran.
The US Dollar (USD) accelerated its reversal against the Swiss Franc (CHF) on Wednesday, as investors pared back US Dollar long positions following the announcement of a ceasefire in Iran.
Commerzbank notes that the Dollar is selling off as risk sentiment improves, with the Euro rising close to 1.17 against the Dollar following the ceasefire news.
DBS Group Research’s Eugene Leow notes that Gold surged over 2% to above USD4800 after a two-week ceasefire between the US and Iran reduced immediate escalation risks.
Germany 10-y Bond Auction increased to 2.92% from previous 2.89%
