TD Securities strategists expect United Kingdom (UK) labour market data for February to show stabilisation, with a slight dip in unemployment and moderate job gains. Wage growth is forecast to slow across key measures, aligning with consensus.

Canada Consumer Price Index - Core (MoM): 0% (March) vs previous 0.2%

Canada Consumer Price Index (MoM) registered at 0.9%, below expectations (1.1%) in March

Canada Consumer Price Index (YoY) came in at 2.4%, below expectations (2.5%) in March

Canada BoC Consumer Price Index Core (MoM) down to 0.2% in March from previous 0.4%

Canada BoC Consumer Price Index Core (YoY) up to 2.5% in March from previous 2.3%

Brown Brothers Harriman (BBH) highlights that renewed Strait of Hormuz tensions have lifted Brent Oil nearly $10 from recent lows and weighed on global risk assets, with the US Dollar (USD) slightly firmer.

Societe Generale strategists highlight that Brent futures have swung sharply with conflict headlines, recently rebounding to $95/bbl.

TD Securities strategists expect Canada’s March Consumer Price Index (CPI) to accelerate as higher energy prices lift the headline rate, while food disinflation offsets some of the impact.

DBS Group Research’s Philip Wee highlights how the US Senate confirmation hearing for Kevin Warsh as Fed Chair could reshape the risk premium on the Dollar.

Rabobank’s Senior Market Strategist Benjamin Picton highlights how shifting perceptions around the Strait of Hormuz are driving sharp moves in Brent.

Canada’s economic docket opens on Monday with the key Consumer Price Index (CPI) figures for March, which will be closely watched to gauge the inflationary impact of the war in Iran.

Commerzbank’s Tatha Ghose assesses the latest inflation data for Poland, Czech Republic and Hungary following the recent energy price spike. He notes that while headline inflation accelerated as expected, core measures show only mild, statistically noisy upticks.

Iran's foreign ministry spokesperson Esmail Baghaei said during the European trading session on Monday that there is “no plan for a second round of negotiations with the United States (US) for now.

Here is what you need to know on Monday, April 20:

ING’s Chris Turner notes the US Dollar (USD) briefly weakened after news that the Strait of Hormuz was fully open, implying US Dollar Index (DXY) around 97.50/98.00 and EUR/USD just over 1.18 if the crisis were resolved.

HSBC Asset Management highlights that global stock indices have stayed resilient through the Oil shock, while valuations and risk premia have adjusted more meaningfully.

According to the Iranian Republic News Agency, Iran President Masoud Pezeshkian said during European trading hours on Monday that the "war is in no one's interest”, and “every rational and diplomatic path should be used to reduce tensions”.

UOB economists Quek Ser Leang Lee and Sue Ann note that GBP/USD spiked to 1.3599 before dropping sharply and then sliding again on Monday. They see a chance of a test of 1.3450, with 1.3400 unlikely to be threatened.

Commerzbank’s Thu Lan Nguyen argues that in the short term EUR/USD gains are capped as markets may be overestimating the European Central Bank's (ECB) reaction to the latest inflation shock.

Japan Tertiary Industry Index (MoM) down to -0.4% in February from previous 1.7%

Asian equities rise on Monday despite renewed hostilities in the Strait of Hormuz, which pushed oil prices sharply higher, amplifying inflation concerns and increasing the chances of further central bank rate hikes.

China PBoC Interest Rate Decision in line with expectations (3%)

The People’s Bank of China (PBOC), China's central bank, announced to leave its Loan Prime Rates (LPRs) unchanged on Monday. The one-year and five-year LPRs were at 3.00% and 3.50%, respectively. 

United Kingdom Rightmove House Price Index (YoY): -0.9% (April) vs previous -0.2%

United Kingdom Rightmove House Price Index (MoM) unchanged at 0.8% in April

New Zealand Trade Balance NZD (YoY): $-3.1B (March) vs previous $-3B

New Zealand Trade Balance NZD (MoM) up to $698M in March from previous $-257M

New Zealand Imports: $7.25B (March) vs $6.89B

New Zealand Exports rose from previous $6.63B to $7.94B in March