Morning Bid: Recoiling oil and dollar sow calm as tech earnings loom

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Prices at the Pumps - April 17, 2024 #saltwire #energymarkets #pricesatthepumps #gaspricesA sharp retreat in oil prices and a rare joint warning from major economies against excessive dollar strength have helped calm restive markets just as Big Tech earnings start to hit.

And it's retreat eases at least some of the inflation anxiety irking bond markets and the Fed and U.S. Treasury yields have fallen back in tandem. Having briefly topped 5% this week, two-year Treasury yields have dropped 10 basis points since. The dollar/yen pair fell back slightly from 34-year highs, although it remains stuck above 154, and South Korea's won backed away from its weakest in almost 18 months.

After Dutch chip equipment firm ASML skidded more than 7% on its earnings miss on Wednesday, there was better news today from Taiwan's chipmaking giant TSMC as it reported a beat that rides the wave of demand related to the artificial intelligence boom.The upshot is U.S.

European Central Bank Vice President Luis de Guindos said the ECB has made it"crystal clear" that interest rates could be cut in June - even if policy decisions beyond that remain up in the air.

 

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Morning Bid: Recoiling oil and dollar sow calm as tech earnings loomA sharp retreat in oil prices and a rare joint warning from major economies against excessive dollar strength have helped calm restive markets just as Big...
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