Open: New York Session | Forex, Metals, Oil, Agriculture March 23, 2023



Consumer Reports, a nonprofit consumer group, found that Hershey’s Lily’s extremely dark chocolate 85% cocoa bar was high in lead and cadmium. Those reserves have since dwindled, exports have weakened, and plantings of major winter crops like wheat declined. Hershey is “evaluating” if it can remove more of the metals through additional cleaning of cocoa beans or alternate sourcing, he said.


Today s Must Reads ECB vindication | European Central Bank officials are increasingly confident the euro-zone banking system has withstood turmoil, allowing them to envisage continued rate hikes. Gold prices extended gains as the dollar headed for its longest losing streak in 2-1/2 years. The greenback fell against all of its peers, with a decline of as much as 1.3% against the euro in the first hours after the decision. The U.S. dollar headed for its longest losing streak in 2-1/2 years.
The Bloomberg Dollar Spot Index traded near the lowest in seven weeks, boosting all of its Group-of-10 peers. Hedge funds may have turned dollar bulls at just the wrong time.


Gold rose and oil fell, while Bitcoin rallied more than 1%.


BEFORE THE BELL Futures for Canada’s main stock index were slightly up as bullion advanced but lower crude oil prices kept a lid on gains for the commodity-heavy bourse. Oil prices dipped as U.S. crude stockpiles swelled.

United States

Wall Street futures climbed, a day after the Federal Reserve hinted it was close to pausing its market-punishing interest rate hikes following the recent turmoil in the banking sector. Treasury Secretary Janet Yellen said regulators aren t looking to provide blanket deposit insurance to stabilize the US banking system, sending bank stocks plunging. The Fed s not stopping with rate hikes, BOE s rate decision and another Hindenburg report is coming. While Fed Chair Jerome Powell assured that regulators actions demonstrated all depositors savings are safe, Yellen said regulators aren t looking to provide blanket deposit insurance.
Today we look at the Fed s calculated risk in raising rates and signaling the potential for further tightening, UK power traders man View in browser Hello. After the Fed | Brazil made a hawkish hold after the Fed decision, while the Philippines shifted to a smaller rate increase and cut inflation forecasts. Coming Up European shares are set for losses as investors digest comments from the US Treasury and messaging from the Fed following its rate hike.
Coming up At 8:30 a.m., we ll get initial jobless claims data, as well as the latest reading for the Chicago Fed gauge of national activity. The one clear takeaway is that the Fed’s stance pivoted dovish relative to its peers, particularly the European Central Bank. Central banks in the Arab Gulf including in Saudi Arabia and Qatar followed the Fed s 25-point rate hike on Wednesday.


It s increasingly clear that US efforts to keep Beijing from aligning with Russia over the war in Ukraine haven t worked.


Lagarde will meet EU leaders in Brussels tomorrow, when they re expected to discuss the banking crisis. EU leaders meet in Brussels for two-day summit. UK Prime Minister Rishi Sunak emerged unscathed from a day of Parliamentary drama after convincingly winning a key Brexit vote. Fico s return threatens to throw EU unity further into turmoil with a public figure who has shown tendencies akin to Hungarian Prime Minister Viktor Orban. Italy has the lowest female labor rate in the European Union.