European Market Summary


European Market Summary

USD ends mixed in what has been a very uninspiring session which leaves core government bonds and the main European equity markets close to unchanged on the day. In contrast to Thursday’s manic moves the major FX pairs kept to tight ranges with initial USD weakness correcting itself, seemingly without a main driving influence.


Commodity currencies benefited from a slight improvement in risk appetite, although AUD/USD’s failure to overcome its 1983 post-float high of 1.0258 led to several bouts of profit taking. Swiss franc came under selling pressure in late Asia and that fed through into Europe with both EUR/CHF and USD/CHF printing respective fresh one-week highs at 1.2955 and 0.9155. EUR/USD traded 1.4194-1.4140 with the lows seen shortly after the German March Ifo where the business climate fell slightly to 111.1 from 111.2 last. GBP/USD whipped between 1.6120 and 1.6060 while USD/JPY climbed steadily to the week’s high of 81.37, only to fall back to 81.00 as the US came in. Core government bonds are close to flat amid a calm session for peripheral yields, June bunds are -0.06 at 122.14 while June gilts are +0.04 at 118.05. The main European equity bourses are oscillating between slightly and slightly down while gold is $5 higher at $1435oz and oil is flat at $105.60bbl.

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