Market moves more extreme - ANZ

Analysts at ANZ noted that market moves were much more extreme overnight compared to recent weeks.

Key Quotes:

"Global yields spiked higher, equities dropped, the USD fell and oil rallied. The spark for market moves came from Mario Draghi, where the market interpreted his comments as hawkish (see below). European yields bear steepened with the German 10 year up 13bps; French 10 year up 14bps; and Italian 10 year up 17bps. The front end of these curves rose 6-8bps. UK yields also climbed, while in the US, 10 year yields rose 6bps."

"European equities fell 0.2-1%, while US equities were led lower by teleco, tech and utility stocks. John Williams led to a minor sell off in US bourses after saying equities may be “priced-to-perfection” and news that the Senate will delay the health care vote led to another leg lower for equities. In commodities, oil climbed nearly 2% and gold rose 0.3%."