Market Roundup
• US Crude Oil Inventories: 3.081M, -1.000M forecast, 5.451M previous
• US Gasoline Inventories: -1.589M, -1.400M forecast, -0.586M previous
• US EIA Refinery Crude Runs (WoW): -0.129M, -0.219M previous
• US EIA Weekly Refinery Utilization Rates (WoW): -0.1%, -0.8% previous
• US EIA Weekly Distillates Stocks: -3.144M, -1.500M forecast, -2.111M previous
• US Gasoline Production: -0.214M, -0.152M previous
• US Heating Oil Stockpiles: 0.233M, -0.809M previous
• US Crude Oil Imports: -0.758M, -0.209M previous
• US Distillate Fuel Production: 0.009M, 0.000M previous
Looking Ahead Economic Data (GMT)
•04:35 Japan 5-Year JGB Auction 1.633% previous
Looking Ahead Events And Other Releases (GMT)
•No events ahead
Currency Summaries
EUR/USD : The euro rose higher against dollar on Wednesday as caution remained amid uncertainty over the U.S.-Iran ceasefire.The truce appeared fragile, as Iran targeted Gulf oil facilities while Israel launched its largest attacks yet on Lebanon. U.S. President Donald Trump had earlier threatened widespread attacks on Iran's civilian infrastructure, drawing international condemnation after issuing an extraordinary warning that "a whole civilization will die tonight" if his demands were not met by Tuesday evening.The five-week war has rattled investor confidence, causing the biggest-ever disruption to global oil and gas supply.The fragile truce has increased Iran’s control over shipping through the Strait of Hormuz compared to pre-war levels. Immediate resistance can be seen at 1.1560(38.2%fib), an upside break can trigger rise towards 1.1629 (April 1st high).On the downside, immediate support is seen at 1.1417(SMA 20), a break below could take the pair towards 1.1401(Lower BB).
GBP/USD: The British pound eased Wednesday as caution persists around the fragile U.S.-Iran ceasefire. Iran has accused Israel of breaching agreed terms through continued attacks in Lebanon, keeping geopolitical risks in focus.Markets saw a strong relief rally, lifting risk-sensitive assets, with WTI crude plunging 14.8% and the dollar index down 0.8%., Focus now shifts to key U.S. data, including February core PCE (forecast +0.4% m/m) and Q4 GDP (forecast +0.7% q/q) due Thursday. Immediate resistance can be seen at 1.3483(50%fib), an upside break can trigger rise towards 1.3519(Higher BB).On the downside, immediate support is seen at 1.3315(61.8%fib), a break below could take the pair towards 1.3217(April 7th low).
USD/CAD: The Canadian dollar strengthened to a near two-week high against its U.S. counterpart on Wednesday as a ceasefire agreement between the U.S. and Iran lifted investor sentiment. The pullback in oil prices led to reduced bets for tighter monetary policy from the Bank of Canada. The market was pricing in roughly one rate hike this year compared to the two it expected in recent days. Canada’s employment report for March, due on Friday, could offer additional clues on the monetary policy outlook. Economists expect a jobs gain of 15,000 after the economy shed 84,000 jobs in February.The loonie CAD= was trading 0.3% higher at 1.3850 per U.S. dollar , after touching its strongest intraday level since March 26 at 1.3825,.Immediate resistance can be seen at 1.3860(38.2%fib), an upside break can trigger rise towards 1.3899(Daily high).On the downside, immediate support is seen at 1.3811 (SMA20), a break below could take the pair towards 1.3788(50%fib)
USD/JPY: The U.S. dollar initially dipped but recovered on Wednesday as investors assessed Mideast ceasefire declaration by Trump. More than five weeks after U.S. and Israeli strikes on Iran, Donald Trump agreed to a two-week ceasefire ahead of his deadline for Tehran to reopen the Strait of Hormuz.Iran's Supreme National Security Council portrayed the deal as a victory, claiming Trump had accepted Iran's conditions for the pause .The yen was also supported by intervention fears after Japanese authorities warned against currency weakness, along with expectations of a near-term Bank of Japan rate hike. Immediate resistance can be seen at 159.29(SMA20) an upside break can trigger rise towards 160.00(Psychological level) .On the downside, immediate support is seen at 157.93(38.2%fib 0) a break below could take the pair towards 157.68(Lower BB).
Equities Recap
European shares surged over 3% on Wednesday after U.S. President Donald Trump agreed to a two-week ceasefire with Iran, triggering a global relief rally as investors bet on the resumption of trade through the Strait of Hormuz.
UK's benchmark FTSE 100 closed up by2.51 percent, Germany's Dax ended up by 5.04 percent, France’s CAC finished the day up by 4.49 percent.
U.S. stocks closed sharply higher on Wednesday after a last-minute, two-week ceasefire agreement between the United States and Iran lifted investor sentiment.
Dow Jones closed up by 2.85 percent, S&P 500 closed up by 2.51percent, Nasdaq settled up by 2.80 percent.
Commodities Recap
Gold pared earlier gains but stayed positive on Wednesday, holding above $4,700/oz as traders weighed Middle East developments and their impact on the economic and policy outlook.
Oil futures fell below $100 a barrel, while equities and bonds rallied sharply after the U.S. and Iran agreed to a two-week ceasefire, raising hopes of resumed oil and gas flows through the Strait of Hormuz.
