Morning Juice – US Session Prep (8th April)

Sentiment
Following the US and Iran’s temporary ceasefire agreement, a surge of confidence rushed across global markets, raising equities and bonds and causing the largest reduction in oil prices in years.
S&P 500 futures rose 2.6%, while emerging-market equities gained the highest since 2022. Brent sank 14% to almost $94 per barrel. Bonds rallied, with benchmark UK rates falling by 22 basis points. The dollar fell to a one-month low. Gold rose.
As part of the two-week truce, Iran said it will allow ships to pass through the Strait of Hormuz, relieving the world economy’s reliance on petroleum supplies, which had threatened to cripple it and increase inflation. While many investors emphasised that there is still a significant difference between Iran’s and the United States’ negotiation demands, the general consensus was that markets had fallen so severely in recent weeks that any de-escalation path would be enough to spark a rebound.

Docket
10:30 ET
Weekly EIA Crude Oil Inventories
Forecast: 2M | Prior: 5.451M | Range: 4.835M / -1.696M

13:00 ET
US 10-Year Note Auction
Prior High Yield 4.217%
Prior Bid-to-Cover 2.45

14:00 ET
FOMC Meeting Minutes

Speaker & Events
13:05 ET
Fed’s Daly speaks on the economy and monetary policy at the St. George Area Chamber of Commerce
Text and Q&A are expected with a moderator

Good Luck!