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Commerzbank on Overnight News

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-- Commerzbank in its "European Sunrise" note of Wednesday highlighted:

Markets: United States Treasury futures edge higher, no cash trading given holiday in Japan. Equity futures are up, led by Nikkei. Yen (JPY) jumps; Euro (EUR) rises above US$1.173. Brent falls below US$108/barrel.

Iran war: President Donald Trump pauses "Project Freedom" military operation to escort ships through the Strait of Hormuz, citing progress toward a deal with Iran. Secretary of State Marco Rubio says the goal is to set up a "bubble" in Hormuz for safe passage.

Corporates: The Securities & Exchange Commission proposes allowing public companies to opt out of quarterly earnings reports.

==EUROPE:

ECB: European Central Bank Governing Council member Francois Villeroy de Galhau doesn't see sufficient signs for a rate hike. Adds that rates will be raised "if we see second-round effects."

ECB is set to hike in June, then keep options open (MNI sources).

France: President Emmanuel Macron nominates former adviser Emmanuel Moulin to head France's central bank.

Germany: Prime Minister Friedrich Merz rules out the option of a minority government.

==ASIA:

China: RatingDog Services PMI rises 0.5pts to 52.6, while the consensus was 52.0.

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