S&P 500 — US Large Cap Index
FTSE 100 — UK Blue Chips
Euro Stoxx 50 — Eurozone Leaders
DAX 40 — German Equities
CAC 40 — French Market Index
Nikkei 225 — Japan Benchmark
Hang Seng — Hong Kong Index
Shanghai Composite — China Mainland
ASX 200 — Australian Market
TSX Composite — Canada Index
Nifty 50 — India Large Cap
STI Index — Singapore Market
KOSPI — South Korea Index
Bovespa — Brazil Equities
JSE Top 40 — South Africa Index
IPC Index — Mexico Market
- EUR/USD gains momentum after the European Union (EU) announced a 90-day suspension of new 25% tariffs on US imports.
- Traders are now pricing in a deposit facility rate of 1.8% by December, up from 1.9% the previous week.
- The US Consumer Price Index rose by 2.4% YoY in March, down from 2.8% in February.
EUR/USD extends its gains for the second successive day, trading near 1.1350 during Friday’s Asian session. The Euro (EUR) strengthened after the European Union (EU) announced a 90-day pause on new 25% tariffs on the United States (US), aiming to create space for trade negotiations.
A sudden policy reversal by the White House on Wednesday now means the EU will face a 10% duty on exports to the US until July—rather than the 20% “reciprocal tariff” that was briefly implemented. However, Trump’s 25% tariffs on steel, aluminum, and cars remain in effect.
Traders adjusted their expectations for European Central Bank (ECB) rate cuts. Investors are now pricing in a deposit facility rate of 1.8% by December, up from 1.65% on Wednesday and 1.9% the week prior. The likelihood of an April rate cut also declined to 90%, down from a full probability just a day earlier.
The EUR/USD pair continues to strengthen as the US Dollar loses ground amid lingering concerns over both the global and US economies. The US Dollar Index (DXY), which tracks the USD against a basket of six major currencies, has slipped to around 100.20 at the time of writing.
Additionally, the US Dollar faces headwinds due to a surprise drop in US consumer prices for March, shifting investor focus to upcoming key data releases — the March Producer Price Index (PPI) and preliminary Michigan Consumer Sentiment, both due later today.
March’s US Consumer Price Index (CPI) showed headline inflation easing to 2.4% year-over-year, down from 2.8% in February and below expectations of 2.6%. Core CPI, which excludes volatile food and energy prices, rose 2.8%, down from 3.1% and missing the 3.0% forecast. Monthly, headline CPI fell 0.1%, while core CPI edged up 0.1%.
