Psychology for major markets March 26th

EUR/USD – Hovering close to 1.08 with a mildly negative tone after recent rises in US yields.

USD/JPY – Retreating slightly after the break of 150 but solid global equity tone limits JPY upside

EUR/GBP – Pushing higher after weaker than expected February CPI, but spring budget statement awaited

AUD/USD – Tested the year’s high near 0.64 as Asian equities rose but has fallen back as risk sentiment has declined. Still scope for a break higher if US yields don’t rise and equities stabilise.

Equities – US market cheered by less aggressive Trump tone on tariffs, but still limited by high valuations. European markets benefiting from expectations of increased defence spending and hopes of an end to the Ukraine war, but worries around tariffs and geopolitics remain.