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MNI EUROPEAN MARKETS ANALYSIS: Oil Continues To Climb On Geopolitics

  • Oil prices continued to climb higher during today's APAC session after Iran's embassy in Damascus was bombed killing military personnel including commanders. Mexico's decision to reduce crude exports and the higher-than-expected US and China manufacturing indices have also provided support.
  • JGB futures are stronger, +6 compared to settlement levels, but off post-auction highs. JBM4 gapped higher to a Tokyo session high of 145.69 (+14) in early afternoon dealings after 10-year supply showed strong demand metrics. Today's outcome established an optimistic tone for a market that has experienced mounting pressure since mid-December, fueled by expectations of policy tightening from the BoJ.
  • USDIDR rose to 15960 earlier but then BI has been intervening and it is now up 0.1% today to 15902. BI said that it sees the pressure on the rupiah as only temporary.
  • Hong Kong equity markets have surged higher today after returning from a two-session break, tracking moves higher made by onshore markets on Monday. The gains come after data out on Sunday showed a jump in PMI with manufacturing PMI coming in at 50.8 vs 50.1 expected and up from 49.1 in Feb, while investors piled into onshore stocks.

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  • Oil prices continued to climb higher during today's APAC session after Iran's embassy in Damascus was bombed killing military personnel including commanders. Mexico's decision to reduce crude exports and the higher-than-expected US and China manufacturing indices have also provided support.
  • JGB futures are stronger, +6 compared to settlement levels, but off post-auction highs. JBM4 gapped higher to a Tokyo session high of 145.69 (+14) in early afternoon dealings after 10-year supply showed strong demand metrics. Today's outcome established an optimistic tone for a market that has experienced mounting pressure since mid-December, fueled by expectations of policy tightening from the BoJ.
  • USDIDR rose to 15960 earlier but then BI has been intervening and it is now up 0.1% today to 15902. BI said that it sees the pressure on the rupiah as only temporary.
  • Hong Kong equity markets have surged higher today after returning from a two-session break, tracking moves higher made by onshore markets on Monday. The gains come after data out on Sunday showed a jump in PMI with manufacturing PMI coming in at 50.8 vs 50.1 expected and up from 49.1 in Feb, while investors piled into onshore stocks.