Market Commentary: Thursday 6th March

Equities came under pressure again yesterday but managed to recover as Trump announced delays to tariffs in the afternoon. Positive sentiment has continued this morning, particularly for Asian stocks—the Hang Seng China Enterprises Index jumped 3.3%, buoyed by the tariff delays and investors’ expectations of more supportive measures from the Chinese government as the 5% target for expansion remains in place. U.S. equity futures are also pointing to a positive open.

Bitcoin ($91,713) is continuing its momentum higher this week, sustaining the move above $90,000 yesterday.

There has been further selling in the global bond market, with Bunds leading the way after Germany’s looser fiscal approach takes hold. Geopolitical volatility, particularly surrounding U.S. support for Ukraine, is adding uncertainty to growth and inflation. Japan's 10-year yield hit 1.5% for the first time since June 2009 as inflation continues to rise.

On the data front, we have Eurozone retail sales this morning, followed by the ECB later today. Out of the U.S. this afternoon, jobless claims and speeches from Fed officials will be in focus.