News Tech: The euro rallied on Wednesday and is poised to post a third straight daily gain against the dollar on Wednesday after Russian Foreign Minister Sergei Lavrov said peace talks with Ukraine were not easy. but there is still hope of a compromise. The euro briefly jumped to $1.10 after Foreign Minister Lavrov said some deal with Ukraine was almost done, with Kyiv’s neutrality being considered “seriously”. Ukrainian President Volodymyr Zelensky said peace talks seemed more realistic but needed more time.
At 0925 GMT, the euro was up 0.3% against the dollar at $1.09910, extending the recovery from a plunge to a near 22-month low earlier this month. Analysts say the euro is only driven by peace talks between Russia and Ukraine. Antti Ilvonen, an analyst at Danske Bank, said: “The development of the war in Ukraine will remain the main focus of the markets and we are waiting for headlines from today’s meeting of NATO defense ministers”. Defense ministers will order military advisers at NATO headquarters, just over a week before Allied leaders, including US President Joe Biden, meet in Brussels on March 24.
The money market is fully priced in for the Federal Reserve’s first-rate hike. three years later today, the Bank of Japan is expected to leave policy parameters extremely loose as it revises policy. The Aussie added 0.4 percent to $0.72270, moving away from Tuesday’s low of $0.71650, its lowest this month, after Chinese news agency Xinhua led Vice Premier Liu He said that the country will introduce policy measures in favor of capital markets.