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Remains Weaker As Equity Futures Rise on Fed/Treasury Statement, JPY Gains Pared

USD

The USD remains on the backfoot, with broader risk appetite firming. US equity futures are rallying (+1% for US eminis and Nasdaq futures). This comes in response to a joint statement from the FDIC, The US Treasury and the US Fed. This statement confirms earlier reports that SVB depositors will be fully protected and have access to all funds on Monday. The other part of the statement highlighted the additional funding available from the Fed to prevent broader liquidity issues in the banking system.

  • AUD/USD is now +0.75% to 0.6630 and the best performer within the G10 space. NZD/USD is also catching up somewhat, last near 0.6165, +0.55% for the session.
  • JPY gains have been pared; USD/JPY is back above 134.50. We were at lows sub 133.60 earlier in the session. For the session yen is still 0.40% firmer. EUR/USD is slightly down from session highs, back under 1.0700.

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