North American Summary and Highlights 21 March
Overview - A generally quiet day saw the USD make some gains after Trump suggested there would be flexibility on tariffs.
North American session
The USD recovered from an early dip as equities and UST yields moved off early lows after Trump stated there would be flexibility on tariffs. USD/JPY rebounded above 129 after slipping to 148.60. EUR/USD and GBP/USD ended little changed though GBP/USD saw a brief move below 1.29 as gilt yields rise on fiscal worries while EUR/USD briefly tested 1.08 on a report that French President Macron was seeking EU retaliation against US tariffs. AUD/USD slipped to .6275 from .63, seeing AUD/CAD weaker near .90.
European morning session
A quiet European morning saw gains for the JPY, CHF and scandis, but little movement elsewhere. USD/JPY fell 30 pips to 149.25, EUR/CHF fell 20 pips to 0.9550, EUR/SEK fell 5 figures to 10.95 and EUR/NOK fell 3 figures to 11.42. SEK gains were helped by a report that the Swedish government will increase spending by 5.8 billion crowns ($573 million) this year to boost the economy, with the bulk of the money spent on supporting the construction sector. Otherwise, mildly negative risks sentiment benefited the JPY and CHF.