Situation Report
"Good evening, there is a lot to unpack this session.
US 10-Year Yields are spiking 3.8 basis points to 5.293%, while the CAC 40 index has retreated 1.41% to 7964.51. Equities are coiling around key support levels as bond market pressure signals a tightening financial environment that equities seem reluctant to fully price in yet.
The Asian manufacturing landscape shows a split picture with expansion in Indonesia and Taiwan, while Japan's sector ebbs. South Korea reported a massive trade surplus of 49.85 billion dollars. In global news, US Secretary Rubio has ordered an Iranian delegation to leave the country, providing a tailwind for oil prices. Investors are also digesting a Bank of Japan member's suggestion that they should keep raising rates in line with the economy and price levels.
Biggest Movers Right Now? High Yield Bonds, Wheat, and CAC 40 are down. Platinum and VIX are up."
News Risk Assessment
Potential risk shift: The order for the Iranian delegation to leave the country could escalate geopolitical tensions quickly, acting as a catalyst for a sudden flight to safety.