Daily Report

27 de Março de 2025
Financial Markets | daily report 27.03.2025
  • Generalized risk off sentiment during yesterday's session following news that President Trump would impose tariffs on the automotive sector by the end of the day, which he finally did (25% on all finished auto imports). Stock markets fell sharply on both sides of the Atlantic, dragged lower by industrial stocks. The dollar strengthened to $1.07 against the euro.
  • On monetary policy, hawkish remarks from ECB's Holzmann, who thinks rates should not be lowered due to risks from tariffs and higher defense spending, left euro area sovereign yields flat. In the US, remarks from Fed officials again suggested the Fed will remain on hold for longer. US treasury yields edged higher.
  • Elsewhere, in commodity markets, oil prices rose on news US crude and fuel inventories fell last week, and as traders continue to weigh the potential impact of tariffs. The barrel of Brent traded close to $74/barrel.