2 days ago • 1 min

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What’s going on here?

Societe Generale’s report highlights market jitters, with Euro Stoxx futures down 0.6% as investors flock to gold and the yen for safety.

What does this mean?

European markets are under pressure with declining Euro Stoxx futures, while the stable 10-year German Bund yield at 2.69% signals investor caution. A growing interest in the yen and gold, which rose 0.5% to $3,130 per ounce, points to increased market uncertainty. There’s also potential currency volatility from the €12 billion EUR/USD options set to expire today. Adding to the tension, markets are bracing for President Trump’s tariff announcement on the ‘Dirty 15’ countries, which could swiftly affect trade dynamics amidst hints of potential relief measures from the US Treasury.

Why should I care?

For markets: Steady steps on uneven ground.

Euro Stoxx futures are slipping and large EUR/USD option expirations loom, demanding investor vigilance. With safe-haven assets like the yen and gold in demand, prudence is advised as new US tariffs come into play, heightening trade tensions.

The bigger picture: Global tensions tilt toward caution.

US trade policy changes and stable monetary policies from the European Central Bank and Poland’s central bank are shaping the macroeconomic scene. Japan’s Nikkei shows a modest positive trend, while South Korea’s inflation reveals mixed economic signals. As countries maneuver through economic recovery, shifts in tariff strategies and reliance on safe-haven assets will be key.