Europe Summary and Highlights 26 Mar
Europe continued to see subdued trading, as markets continue to digest recent central bank meetings and data.
European morning session
The USD edged a little lower through the European morning. EUR/USD gained around 10 pips to 1.0940, and USD/JPY fell a similar amount to 151.25. The AUD was a modest outperformer, rising 15 pips to 0.6558, while the CHF was little changed against the USD with USD/CHF just above 0.90, EUR/CHF continuing the rise seen since the start of the week, reaching a high of 0.9788.
There wasn’t a great deal of news, with the only data of note coming from Sweden. This was on the strong side of consensus, with PPI flat on the month and the economic tendency survey showing a rise to its highest since September 2022. EUR/SEK started the session on the firm side but finished slightly lower at 11.44.
Asia Session
The FX market is quiet on Tuesday. Japan's Suzuki has escalated the level of jawbone intervention by saying won't rule out steps to address disorderly FX moves. It is an interesting move as USD/JPY is mostly unchanged so far this week. It demonstrated the Japanese government's concern over the weakness in JPY and may act without a spike in the pair. USD/JPY is trading 0.03% lower at 151.37 with U.S. T-Yields outperformed by JGB yields.
Risk sentiment is performing individually regionally while U.S. 3 major equity indexes are in the green. The AUD/USD is unchanged for the session, NZD/USD up 0.04% to 0.6006 while USD/CAD down 0.02% to 1.3582 as oil gain a few cents. Elsewhere, EUR/USD is up 0.05% and GBP/USD is up 0.04%.