US EQUITY OPEN: Indices in the red as Trump "thinks" Iran ceasefire is over

OPEN: US indices opened in the red amid broad-based risk-off sentiment as US President Trump said that the Iran ceasefire is over, "he thinks". In reaction, it lifted Brent above USD 79/bbl from around USD 76/bbl, and saw equity, Treasury, and gold selling. The Dollar is benefitting marginally but the FX space mixed overall, as the Yen lags. The Kiwi is the best performer after the RBNZ hike and commentary pointing toward potential further action. Sectors are almost exclusively in the red, with only Energy the only in the green and buoyed by the aforementioned strength in the crude complex of c. USD 3/bbl. Materials and Consumer Discretionary lag. Do note, we did see a modest paring of these moves from extremes on source reports that Trump did not reiterate his Iran, Spain, or Greenland language in the actual NATO summit. Though, the bulk of the original action remains intact. In his most recent remarks, Trump, on Iran, said it may be a big attack tonight and the US may put the blockade back. Ahead, FOMC Minutes and US 10yr note auction are the highlights.

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