Overview

• President Trump announced a “complete and total” ceasefire between Israel and Iran, ending the 12-day conflict and driving a broad risk rally.
• The dollar fell broadly, including a 0.21% drop against the yen to around 145.8 per dollar, while the Australian and New Zealand dollars gained about 0.35%.
• Federal Reserve Governor Michelle Bowman said she would support cutting the federal funds rate at July’s meeting if inflation pressures stay subdued.
• Investors upped the probability of a July rate cut to roughly 20% from around 14.5% before Bowman’s remarks.
• Attention now turns to Fed Chair Jerome Powell’s testimony before Congress for further indications on U.S. monetary policy.