S&P Experts: Fed won’t abandon inflation battle on US bank collapses.

On Tuesday, S&P analysts think it is doubtful that the failure of several US banks will prevent authorities from continuing their efforts to control inflation.


The global rating agency also mentioned that the decision to write off Credit Suisse’s AT1 bonds may contribute to a higher cost of capital for banks.

On the same line were comments from a Senior Swiss lawmaker who warned on Monday that “the UBS-Credit Suisse merger is an enormous risk.”

The news challenges the recent risk-on mood, which was mostly fueled by hopes of alleviating the banking crisis, and supports the market’s hawkish Fed forecasts. Because of this, the risk barometer AUD/USD pair pauses its three-day advance near 0.6720, and S&P 500 Futures also find it difficult to keep up with Wall Street’s gains at the latest.