Morning Juice – US Session Prep

Morning, Traders!
It is Monday the 7th of April, here are some things to look out for today.

Sentiment
Front-end Treasury yields fell as the escalating global trade war stoked recession fears, pushing traders to ramp up bets on US interest-rate cuts. The Swiss franc and Japanese yen outperformed as risk aversion raised demand for havens. Shell-shocked investors are piling into US Treasuries on worries that Trump’s trade war will trigger a worldwide recession – ignoring for now, at least, the risk that the same punitive tariffs may unleash another bout of inflation.

Traders added to bets on Fed rate cuts to wager on as much as five quarter-point reductions this year.

The carnage in financial markets unleashed by Trump’s tariffs is continuing unabated as equities get pummeled and US stock futures show that last week’s $5 trillion wipeout isn’t over.

China’s policymakers discussed measures over the weekend to stabilize the economy and the markets in the face of Trump’s tariff onslaught, including whether to speed up plans to unleash stimulus to bolster consumption, according to people familiar with the matter.

Docket (No Major Releases)

Speakers & Events

8 AM ET
Trump Speaks with Japan’s PM Ishiba

10:30 ET
Fed’s Kugler Speaks on inflation dynamics and  No text. Q&A expected

Good luck!