due to the banking turmoil, pushed the 2-year US Treasury yield, which tracks interest rate expectations, down about 3.5 basis points to 3.7709%.Eurozone government bond yields followed Treasury yields lower, with 2-year German yields dropping a hefty 25 bps to 2.25%.
In currencies, the dollar reversed a losing streak to gain 0.49% against major peers as risk aversion strengthened appetite for the reserve currency. The Japanese yen, a safe-haven currency, was steady at 130.705 after hitting a six-week high of 129.8 per dollar. The euro fell about 0.6% to $1.07620. Brent crude, the global oil benchmark, fell 1.2% to $74.99 per barrel, as banking sector concerns dimmed the outlook for energy demand.
A firmer dollar dragged on gold prices, though they were still on track to end higher for the week, for the fourth consecutive week, as bank contagion worries and bets about a pause in Fed rate hikes bolstered the appeal of non-yielding bullion.The Fed raised its main interest rate by a quarter point to a range of 4.5% to 4.75% on Wednesday, March 22, but signaled it would consider a pause in light of banking system stresses.