Over the weekend, not much changed regarding the geopolitical havoc regarding the Middle East with a U.S. delegation staying home instead of attending a planned round of talks in Pakistan. Instead, the White House explained there was no need to meet there as the ceasefire holds for now.

Iran claims they will be open to reopening the Strait of Hormuz if the U.S. can agree on lifting its blockade. Meanwhile, a resurgence in risk-taking throughout April may close the month with a 10.0% gain for the S&P 500 Index. Technology possibilities and revenues seem to keep investors excited about the future regardless of negative items and shaky fundamentals.

Wednesday could be an even bigger day for equities as Microsoft, Meta, Alphabet and Amazon report their earnings while Apple Inc. reveals theirs on Thursday. Tomorrow, we will get word from the Bank of Japan, then Wednesday we have the Fed as well as the Bank of Canada making their announcements, and Thursday the European Central Bank and Bank of England shall follow. Thursday will be crucial as it is the last day of April with a look at Q1 Gross Domestic Product, employment, as well as inflation gauges.

What to Watch This Week…

The complete Economic Calendar can be found here.

EUR ⇑

The Euro has recovered and continues to rise against the Buck as markets digest issues on the domestic front and global deterioration from energy problems. While investors rejoice over Tech and A.I. developments, economists are worried that the oil industry is now forever changed following the Iran conflict and damages to energy facilities. EV and alternative energy sources lost popularity and significance in the past two years but could be a new front for aggressive investment considering oil and fossil fuels require a high level of stability and coordination. There is concern that prices for Diesel and unavailability will affect summer travel. Economic confidence and price growth will be released this week and see if it sustains Euro recovery from March.

MXN ⇑

The Mexican Peso has surely mounted a comeback in the past month, appreciating by 3.2% thus far against the Buck. With a dwindling U.S. Dollar, MXN and Emerging-Market currencies have thrived with the MSCI Emerging Markets Currency Index up by over 1.3% for the month. On Thursday, we will get crucial data out of Q1 GDP numbers.