USD

• Calm markets. Perceived financial stability risks continue to fade. Equities higher, while the USD has lost some ground.• Sticky German inflation. European yields and EUR rise as German inflation falls back less than expected. Eurozone inflation is released tonight.• AUD mixed. AUD up a little against the USD, but remains under pressure against EUR, GBP, and NZD. China PMIs due during todays Asian trade. Another night of relatively calm market conditions, as perceived financial stability risks continue to fade. Equities were higher across Europe and the US. The major indices rose by another 0.5-1.3%, though ‘hawkish’ rhetoric from several...

• Positive sentiment. US and European equities higher with another night of no new news helping sentiment improve. This has weighed on the JPY.• Will it last? More macro/market aftershocks from the very aggressive hiking cycles are likely over coming months. US earnings expectations look too high.• RBA pause. AUD remains on the back foot. The step down in AU inflation has solidified the case for the RBA to hold steady at next weeks meeting. Another night of no new news on the banking front has helped sentiment continue to improve. Although the moves across the different markets have differed...

• Positive vibes. No new news on the banking front has supported risk sentiment. Bond yields have moved higher, with oil & base metal prices firmer.• Softer USD. Despite the upswing in US yields the USD has drifted lower. AUD & NZD have been boosted by the more positive risk appetite.• AU data pulse. Retail sales were sluggish. CPI indicator for February due today. A larger pull-back in annual growth could open the door to a RBA pause next week. Mixed fortunes across markets overnight, although there has been a relative sense of calm with no new news regarding the...