Oil prices tumbled below US$80/barrel overnight, as Saudi Arabia and Oman negotiate with Iran in an effort to find peace, or at least a ceasefire. Markets welcomed the moves, equities surged and bond yields softened. US markets will be focused on the Fed’s latest interest rate decision, where they are expected to hold rates steady, awaiting further developments in the Middle East and the impact on US inflation. The US Dollar was steady, with the EUR trading 1.1380, while the GBP looks to regain 1.3300.
Commodity currencies remain unsettled, with the AUD trading below 0.7000, while the NZD looks to regain 0.5800. Australia releases their latest inflation number today, with the CPI expected to remain elevated, which may impact the currency.
