Market Update 27/03/2025

U.S. Market:

Wall Street had a strong start this week. By the end of the trading day, the Nasdaq index rose 2.2%, the S&P 500 index gained 1.7%, and the Dow Jones Industrial Average increased by 1.4%. The U.S. 10-year Treasury yield climbed 8 basis points to 4.33%.

Asian Markets:

Asian markets mostly opened the week higher. The Hang Seng Index rose 0.9%, the Shenzhen Index gained 0.5%, while the Nikkei Index edged down 0.2%. Australia’s ASX index closed up 0.1%, with gains in the consumer discretionary sector offsetting losses in consumer staples.

European Markets:

European markets opened strong, led by the German DAX index, which gained 0.9%. The Stoxx index and CAC index followed, rising 0.6% and 0.5%, respectively. However, later in the trading session, European markets turned negative and eventually closed with slight losses.

Foreign Exchange Market:

• The Australian dollar (AUD) was boosted by stock market performance and improved Australian March PMI data (Composite PMI rose from the previous 50.6 to 51.3), pushing AUD/USD up to 0.6305 before stabilizing around 0.6280.
• The New Zealand dollar (NZD) fell to a low of 0.5719, further declining to 0.57085.
• The euro (EUR) rose by 20 pips to 1.0858 after France’s March PMI data but retreated following weaker-than-expected German PMI data. After the Eurozone PMI release, the euro dropped slightly by 10 basis points.
• The U.S. dollar (USD) rose to a high above 150.70 against the Japanese yen (JPY).

Economic Data:

• Australia: March Composite PMI rose from the previous 50.6 to 51.3, indicating improved economic activity.
• France: March Composite PMI was 47.0, better than the expected 46.1.
• Germany: March Composite PMI came in at 50.9, slightly below the expected 51.1.
• Eurozone: The preliminary March Composite PMI increased from February’s 50.2 to 50.4 but fell short of the expected 50.7. Manufacturing PMI was 48.7, better than the expected 48.2, while Services PMI was 50.4, below the expected 51.1.
• United States:
  • February Chicago Fed National Activity Index rose to 0.18, better than the expected -0.17.
  • March Manufacturing PMI declined from 52.7 to 49.8, below the expected 51.7.
  • March Services PMI rose from 51.0 to 54.3, surpassing the expected 51.0.
  • Composite PMI increased from 51.6 to 53.5, exceeding the expected 50.9.

Here are the latest mid-market rates: