European Open: Singapore's Central Bank Tightens Policy But The European Central Bank Is Unlikely to Follow Suit

• Australia's ASX 200 index rose by 43.8 points (0.59%) and currently trades at 7,522.80

• Japan's Nikkei 225 index has risen by 310.28 points (1.16%) and currently trades at 27,153.77

• Hong Kong's Hang Seng index has risen by 65.17 points (0.3%) and currently trades at 21,439.54

• China's A50 Index has risen by 131.5 points (0.95%) and currently trades at 13,953.66

UK and Europe:

• UK's FTSE 100 futures are currently up 12.5 points (0.17%), the cash market is currently estimated to open at 7,593.30

• Euro STOXX 50 futures are currently up 16 points (0.43%), the cash market is currently estimated to open at 3,843.96

• Germany's DAX futures are currently up 62 points (0.44%), the cash market is currently estimated to open at 14,138.44

US Futures:

• DJI futures are currently up 21 points (0.06%)

• S&P 500 futures are currently up 38 points (0.27%)

• Nasdaq 100 futures are currently up 3.75 points (0.08%)

Asian stocks advanced for a second day, ahead of a four-day weekend in parts of the West. Given the long weekend, traders may want to be nimble in order to avoid getting caught up in what may be volatile news when major traders close their books. However, attitude looks to be positive, with futures markets for European and US indexes indicating a higher open.

The unemployment rate in Australia stayed at 4%, despite the fact that headline job growth was just 17.9 thousand, since part-time employment declined by -59.5 thousand. In comparison to its main counterparts, the Australian dollar is practically unchanged.

MAS Is The Most Recent Bank to Tighten Its Policies

Singapore's central bank tightened policy today for the third time in six months, raising the NEER (Nominal Effective Exchange Pace) and marginally boosting the rate of appreciation of its policy band.

It's the first time the central bank has utilized both instruments at the same time in a year. Following the decision, the Singapore currency rose, sending USD/SGD down at -0.6 percent, its most bearish day in two years.

ECB and TCMB up next

At 12:00 BST, Turkey's Central Bank will publish its monetary policy decision, however we don't anticipate any fireworks given the central bank's intentions for 'liraization.' They've kept rates at 14 percent for each meeting this year, which is a step in the right way after decreasing rates in the fourth quarter of last year despite 30 percent inflation.

While inflationary pressures remain throughout Europe, the ECB is unlikely to intervene today. They altered their bond purchases for Q2 during last month's meeting, and their intentions for Q3 have yet to be published. The purpose of today's meeting is to provide forward guidance and clarity on when bond purchases will end, since rates cannot increase until bond purchases end. According to OIS, a 25 basis point raise by the end of the year has already been factored in.

Potential head and shoulders top on EUR/CAD

Given that we're approaching the ECB meeting ahead of a four-day weekend, there's a good possibility we won't see any sustained collapse today. If there is no 'event,' we'll keep a watch on the market's ability to breach critical support next week, as a break below 1.3650 confirms a head and shoulders top on this period and puts 1.3600 into focus.

FTSE: Market Internals

FTSE 350: 4242.5 (0.05%) 13 April 2022

• 157 (44.73%) stocks advanced and 184 (52.42%) declined

• 10 stocks rose to a new 52-week high, 9 fell to new lows

• 33.9% of stocks closed above their 200-day average

• 88.6% of stocks closed above their 50-day average

• 6.27% of stocks closed above their 20-day average

Outperformers:

• + 6.28% - Hochschild Mining PLC (HOCM.L)

• + 5.78% - Oxford Instruments PLC (OXIG.L)

• + 5.45% - Baltic Classifieds Group PLC (BCG.L)

Underperformers:

• -11.65% - Darktrace PLC (DARK.L)

• -6.67% - Dr Martens PLC (DOCS.L)

• -4.96% - Trustpilot Group PLC (TRST.L)