FxWirePro: Daily Commodity Tracker - 21st March, 2022 
The Eurozone government bonds gained on Tuesday as the recent polls showed the outcome of the referendum is too close to call, raising the possibility that Britain might leave the EU after 43 years of membership in the bloc.
The benchmark German 10-year bonds yield, which moves inversely to its price fell ½ basis point to 0.081 percent, French 10-year bunds yield dipped 1 basis point to 0.443 percent, Irish 10-year bonds yield moved down 1-1/2 basis points to 0.781 percent, Italian equivalents inched lower 2-1/2 basis points to 1.368 percent, Netherlands 10-year bonds yield remained steady at 0.313 percent, Portuguese 10-year bonds yield tumbled 4 basis points to 3.171 percent, Spanish 10-year bonds yield slid 4-1/2 basis points to 1.485 percent and British 10-year bonds yield hovered at 1.288 percent by 10:00 GMT.
According to the latest poll conducted by YouGov over the Brexit referendum, 43 percent voted to 'remain' in the European Union, compared to 41 percent as of May 31, 42 percent voted to 'leave' the EU, compared to 41 percent on May 31. The rest remained indecisive, either declining to vote or not knowing which side to favour. Similarly, a new UK-EU poll by ORB for the Telegraph, among people saying they will definitely vote in the referendum on the 23 June, 48 percent said they will vote to remain and 47 percent supported to leave the union.
The Federal Reserve Chair Janet Yellen said that if incoming data are consistent with labor market conditions strengthening and inflation making progress toward our 2 percent objective, further gradual increases in the federal funds rate are likely to be appropriate and most conducive to meeting and maintaining those objectives. Referring to the weaker than expected May employment report, Yellen noted that she sees good reasons to expect that the positive forces supporting employment growth and higher inflation will continue to outweigh the negative ones.
As a result, she expects the economic expansion to continue, with the labor market improving further and GDP growing moderately. This appears to be a solid attempt to prevent the May employment report from derailing efforts to prepare markets for a summer rate hike. With Lockhart and Bullard going a long way in talking down a June hike, but keeping open support for possibly one in July, we expect a good deal of support for normalization to resume, remembering that it is not about the incoming data itself but more how the Fed takes it into account.
The Eurozone Q1 2016 GDP (final) rose 0.6 percent q/q, higher than the market consensus of 0.5 percent q/q, from 0.6 percent in the last quarter of 2015. Spending was the main driver of GDP in the first quarter with both household and private investment leading the way. Household consumption rose 0.6 percent q/q, against market consensus of 0.5 percent q/q, from prior 0.2 percent and Government spending jumped 0.4 percent (expectations was for 0.4 percent q/q), as compared to previous 0.6 percent. Moreover, Exports climbed 0.4 percent q/q, against 0.7 percent in Q4 of 2015. Similarly, Imports rose 0.7 percent, lower than previous of 1.4 percent q/q in the last quarter of 2015.
The European bonds have been closely following developments in oil markets because of their impact on inflation expectations, which are well below the European Central Bank's target. Today, crude oil prices continue to hover at $50 mark. The International benchmark Brent futures rose 0.65 percent to $50.88 and West Texas Intermediate (WTI) rose 0.36 percent to $49.87 by 09:10 GMT.
Meanwhile, the pan-European STOXX 600 index was up 1.27 percent and the euro-area blue-chip gauge, the STOXX 50 jumped 1.37 percent. The FTSE 100 Index rose 0.57 percent, the DAX trading 1.77 percent higher and the CAC-40 rose 1.26 percent by 10:15 GMT.
