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
- USD/CHF appreciates as the US Dollar gains on safe-haven demand amid persistent US–Iran conflict uncertainty.
- Israel’s UN ambassador Danny Danon said the Lebanon ceasefire extension is “not 100%.”
- Markets expect SNB intervention to curb rapid, excessive CHF appreciation.
USD/CHF extends its winning streak for the fourth successive day, trading around 0.7870 during the Asian hours on Friday. The pair gains ground as the US Dollar (USD) receives support from safe-haven demand amid persistent uncertainty surrounding the United States (US)–Iran conflict.
The Guardian reported on Thursday that Lebanon will push for a one-month extension of the current ceasefire with Israel during a second round of direct talks in Washington. Israel’s Ambassador to the United Nations (UN), Danny Danon, said in a CNN News interview on Friday that the Lebanon ceasefire extension is “not 100%”.
The US military intercepted two Iranian oil supertankers attempting to evade its blockade, as Washington presses ahead with efforts to curb Iran’s shipping, while Tehran continues to threaten vessels in the Strait of Hormuz. US military officials are also preparing contingency plans to target Iran’s capabilities in the Strait should the current ceasefire collapse.
On the US data front. Weekly Initial Jobless Claims rose to 215K from 212K, indicating continued strength in the labor market. Meanwhile, S&P Global PMIs surprised to the upside, with Manufacturing at 54.0 and Services at 51.3, pointing to sustained expansion in business activity.
Earlier this week, Swiss data showed the Trade Surplus narrowed to CHF 2.7 billion in March, down from a downwardly revised six-month high of CHF 4.4 billion in February. Imports jumped 10.1% MoM to a four-month high of CHF 19.6 billion, while exports increased modestly by 1% to CHF 22.4 billion.
The upside of the USD/CHF pair could be restrained as the Swiss Franc (CHF) may find support from safe-haven inflows. Additionally, the CHF may also gain ground as rising concerns over a prolonged energy-driven inflation shock reinforce expectations of a more hawkish Swiss National Bank (SNB). Market participants expect the SNB to intervene in FX markets to curb a rapid and excessive appreciation of the CHF.
