Headlines:
- USD/JPY continues upwards march as buyers eye 130.00
- Japan chief Cabinet secretary Matsuno: FX stability is important
- The bond selling resumes, 10-year Treasury yields near 2.90%
- OPEC+ produces 1.45 mil bpd below target last month as Russian output hit by sanctions
- SNB total sight deposits w.e. 15 April CHF 740.1 bn vs CHF 739.4 bn prior
- French finance minister says embargo on Russian oil is in the works
Markets:
- AUD leads, JPY lags on the day
- European equities lower; S&P 500 futures up 0.1%
- US 10-year yields up 1.8 bps to 2.88%
- Gold flat at $1,978
- WTI down 1.5% to $106.56
- Bitcoin up 0.2% to $40,780
The session was rather quiet as European markets reopened after the Easter break but with little on the economic calendar.
But the same old themes from the previous week are continuing with bond yields rising and the yen sold heavily across the board. USD/JPY hit fresh highs since 2002 as the pair rose above 128.00 and is keeping up by nearly 1%. 10-year Treasury yields are at their highest since December 2018, touching 2.90%.
The dollar was somewhat steady early on but is seeing some slight weakness against the euro and pound though nothing to shout about.
In the equities space, European stocks are keeping lower while US futures pared early gains and are keeping little changed. In general, the risk mood remains rather cautious as inflation continues to place its thumb over the market.
