Major APAC bourses started the day on a firm footing but later waned off highs; ASX 200 underperformed

·        US House set a two-hour debate on coronavirus relief bill on Friday 0900 ET/1300 GMT, according to House officials

·        UK and EU negotiating rounds have been abandoned amid coronavirus pandemic, according to The Guardian.

·        In...

• European price action has been choppy equity-wise, as focus remains on the progression of stimulus as well as the rising COVID-19 count
• US Senate voted unanimously (96-0) to pass the USD 2tln coronavirus response bill which sends the bill to the House
• US House Majority Leader Hoyer's office stated the House will convene at 0900EDT on Friday to consider the bill
• Spain's total coronavirus cases rise to 56,188 on Thursday from 47,610 on...

• US Senate voted unanimously (96-0) to pass the USD 2tln coronavirus response bill which sends the bill to the House
• US House Majority Leader Hoyer's office stated the House will convene at 0900EDT on Friday to consider the bill
• Asia equity markets traded cautiously amid headwinds from the US where most major indices finished in the green although pulled back heading into the Wall St. close
• In FX markets, the DXY softened and retreated back below the 101.00 level; EUR/USD above 1.09, USD/JPY below...

• European sentiment began firm but has since deteriorated significantly ahead of the US’ approach to market
• US Senate Majority Leader McConnell confirmed the they have reached a bipartisan deal and said the stimulus package would rush financial assistance to Americans
• ECB's Lagarde asked EZ Finance Ministers yesterday to seriously consider a one-off joint debt issue of coronabonds, according to officials; was opposed by Northern states
• Japan is discussing a USD 500bln stimulus package, Cash handouts...

• US Senate Majority Leader McConnell confirms that a bipartisan stimulus deal has been reached; package is said to be worth USD 2.5trl
• Asian equity markets traded with firm gains as the region took impetus from the historic rally on Wall St where the DJIA jumped by over 2100 points
• ESM's Regling said precautionary credit line ECCL is best for the COVID-19 response and would be available to all EZ countries
• US President Trump's administration...

• Sentiment remains bolstered as more stimulus measures are touted, with US futures hitting limit-up
• US President Trump said we will have an announcement soon as to timing of measures to ease coronavirus guidance
• US Treasury Secretary Mnuchin and Senate Democrat leader Schumer were optimistic for a deal on Tuesday; while Democrats introduced a USD 2.5bln stimulus bill
• Germany is reportedly mulling a stimulus package to boost the economy post-virus
• FX sees the DXY softer, to the benefit of G10...

• Asian equity markets were higher across the board as the region received much-needed reprieve from the recent sell-off
• US equity futures have performed better after-hours with the Emini S&P and DJIA back above the 3k and 19k levels respectively
• US Senate stimulus bill failed to get enough votes to clear the first procedural hurdle
• Senate Majority Leader McConnell suggested that the delays could push the stimulus package to Friday
• US President Trump said he will have an announcement soon...

• European bourses are subdued this morning, with US futures lifted off the limit-down level they touched overnight
• US Senate voted 47-47 on the coronavirus bill which failed to reach the 60 votes required to pass the first procedural hurdle
• US President Trump approved New York, Washington and California disaster declarations which allows federal funds to flow into the states.
• German Government intends to set up a rescue package of EUR 500bln for companies and banks
• German Public Health...

• Asian stock markets mostly traded with hefty losses and US equity futures hit limit down amid further coronavirus-related disruptions and a rising death toll
• US Senate voted 47-47 on the coronavirus bill which failed to reach the 60 votes required to pass the first procedural hurdle
• US Senate Majority Leader McConnell initially said the Senate will re-vote on the motion to proceed
• German Government intends to set up a rescue package of EUR 500bln for companies and banks, authorize EUR 350bln in new...

• Sentiment was bolstered on the ECB measures; but failed to hold to the optimism
• ECB announced EUR 750bln Pandemic Emergency Purchase Programme, conducted until end-2020
• Fed announced to launch mutual money market fund facility to lend to financial institutions
• RBA lowered Cash Rate Target by 25bps to 0.25% and announced QE as speculated
• Looking ahead, highlights include US Initial Jobless Claims, SARB Monetary Policy...

• Asian equity markets extended on losses with price action turbulent amidst ongoing coronavirus fears and disruptions
• ECB announced EUR 750bln Pandemic Emergency Purchase Programme, conducted until end-2020
• Fed announced to launch mutual money market fund facility to lend to financial institutions
• RBA lowered Cash Rate Target by 25bps to 0.25% and announced QE as speculated
• In FX, DXY remained firm above 101.00,...

• US Equity futures have resided at limit-down throughout the European session
• Debt complex has been heavily subdued while the DXY has printed fresh YTD highs
• Fed established a primary dealer facility to support market function beginning March 20th which will last at least 6 months for 90-day loans
• Former VP Biden was declared winner in the Florida, Illinois and Arizona Democrat primaries
• Looking ahead, highlights include US Building Permits and Housing Starts, Canadian CPI, DoEs, NZ GDP,...

• Asian equity markets were indecisive as the region failed to sustain the rebound on Wall St from its worst sell-off since 1987
• UK Chancellor Sunak announced new measures including cash grants, tax holidays, mortgage moratoriums and lending facilities
• Canada is to announce a CAD 27bln economic and aid package today to offset the coronavirus impact
• DXY slightly pulled back overnight but held on to the majority of gains seen in the prior session where it surged above 99.00
• Looking ahead,...

• European equities found mild reprieve following touted US stimulus measures; Spain’s IBEX outperforms on short-selling ban
• US Treasury Secretary Mnuchin is said to be seeking USD 850bln package or more of stimulus, according to Politico citing sources
• In FX, the Greenback gains more ground above 99.00 vs. a sub-98 low, as such G10 pairs are pressured
• Looking ahead, highlights include US retail sales, industrial production, business...

• Asia-Pac equity markets traded mixed and US equity futures hit limit up overnight as stock markets attempted to nurse the recent heavy losses
• US President Trump suggested the worst of the virus outbreak could be over by July/August, perhaps later
• US Treasury Secretary Mnuchin met with GOP Senators and said he is seeking a large number for additional coronavirus stimulus legislation
• In FX, the greenback was lacklustre around the 98.00 level....

• FOMC cut the Fed Funds Rate 100bps to 0.00%-0.25% and launched a USD 700bln QE program
• RBNZ lowered the OCR by 75bps to 0.25% in an emergency meeting and stated that the OCR is to remain at 0.25% for at least a year
• BoJ held an emergency monetary policy meeting in which it kept short-term rates at -0.10% and maintained long-term yield target at 0%, but raised purchases of ETFs and J-REITs
• European equities continue to erode in early trade...

• FOMC cut the Fed Funds Rate 100bps to 0.00%-0.25% and launched a USD 700bln QE program
• Bank of Canada cut its key overnight interest rate by 50bps to 0.75% from 1.25% and stands ready to adjust monetary policy further if required
• RBNZ lowered the OCR by 75bps to 0.25% in an emergency meeting and stated that the OCR is to remain at 0.25% for at least a year
• BoJ held an emergency monetary policy meeting in which it kept short-term rates at...

CENTRAL BANKS

Norges Bank emergency rate cut to 1.0% from 1.50%; decision was unanimous. Ministry of Finance has, at the Norges Bank's recommendation, elected to cut the countercyclical capital buffer to 1.0% from 2.5%. (Newswires) A decision which resulted in the NOK, which has been under significant pressure recently, strengthening somewhat as the measures are designed to provide support to the financial system. Are scheduled to meet on March 19th . Subsequently, Governor...

• Asian equity markets initially crashed overnight before rebounding, ASX outperformed; US equity futures rose to positive territory 
• Fed announced that it is to provide USD 1.5tln in temporary liquidity amid "highly unusual disruptions" in Treasury financing markets 
• Eurogroup President Centeno said EZ Finance Ministers will agreed to a ‘very large’ policy response to the coronavirus  
• UK and EU have agreed to “dial down the...

• US equity futures have hit limit down (5% in futures) multiple times in European hours as sentiment remains subdued after Trump failed to announce sweeping support
• US President Trump announced to suspend all travel from EU to the US for 30 days beginning Friday at midnight
• DXY is modestly firmer with the complex overall mixed but safe-haven JPY outperforms
• BoJ is reportedly likely to strengthen stimulus at its meeting next week, more active...

• Asian equity markets traded with hefty losses again after another bloodbath on Wall St where the DJIA slipped into bear market territory
• Overnight, Dow futures fell below the 23k level, Nasdaq futures hit limit down and Euro Stoxx 50 futures fell by as much as 8%
• In FX, DXY weakened and reversed some of the prior day’s gains, lifting EUR/USD back towards 1.1300 and USD/JPY below 104.00
• WHO's Tedros said coronavirus is a global pandemic, while he suggested to double down and be more aggressive to...

• Sentiment is somewhat mixed, with US futures lagging their European peers who are bolstered by stimulus measures
• BoE cut rates by 50bp to 0.25%, in a unanimous emergency decision. Cut the counter cyclical buffer and announced a new term funding scheme
• Italian PM Conte says the Government has set aside a total of EUR 25bln to assist the economy given the coronavirus
• Saudi Aramco has received a directive from the Energy Ministry to increase maximum sustainable capacity from 12mln BPD to 13mln...

• Asia-Pac stocks were lower as the prior session’s firm rebound on Wall St failed to resonate across the region
• US equity futures staged a pullback after the White House press conference provided very few details regarding economic measures and President Trump was a no-show
• DXY slightly weakened as it gave back some of the prior day’s spoils but remained above the 96.00 level
• RBA Deputy Governor Debelle suggested there are scenarios where measures such as QE and forward guidance would be...

• Risk sentiment remains firmer in EU hours after a strong APAC handover; though the overall narrative hasn’t changed fundamentally
• DXY is modestly firmer as the JPY retreats in-line with other safe havens
• President Trump announced he is to hold a press conference today on economic measures to respond to the coronavirus and suggested that economic steps will be major
• Japan is reportedly planning to spend JPY 430.8bln in second package of steps on virus outbreak; BoJ are considering expanding their ETF...

• Asian equity markets eventually traded mostly higher as markets began to pick up the pieces from the recent oil-triggered devastation
• DXY traded higher and rose back above the 95.00 level after rebounding from 18-month lows
• Italy has extended its emergency coronavirus measures to the entire country; includes restrictions on travel and public gatherings
• Commodities were mostly underpinned as risk assets recovered from the prior day’s sell-off, with WTI crude futures higher by nearly...