06:32 AM EDT, 03/26/2025 (MT Newswires) -- Commerzbank in its "European Sunrise" note of Wednesday highlighted:

Markets: United States Treasuries pare gains into close, weaken further in Asia. E-minis pare gains, Asian equities mostly supported. The US dollar trades stronger, Brent recovers from the Ukraine news.

Fed: Chicago Federal Reserve Bank President Austan Goolsbee says Fed is no longer on the "golden path," sees rates "fair bit lower" in 12-18 months, but next cut may take longer than anticipated (FT).

Tariffs: President Donald Trump claims the European Union has been freeloading and is "terrible on trade," says he doesn't want too many exceptions to April 2 tariffs. Copper tariffs could be imposed within several weeks (Bloomberg sources).

U.S.: Republican party leaders say they are getting close to a plan to extend Trump's 2017 tax cuts and raise the debt ceiling. Treasury Secretary Scott Bessent says he's confident that a swift timeframe on tax cuts is achievable. Moody's warns U.S. "fiscal strength is on course for a continued multiyear decline."

Ukraine: President Volodymyr Zelensky says Ukraine will implement a partial ceasefire in the Black Sea. Russia says deal depends on sanctions relief, says it will work to implement a ban on strikes on energy infrastructure.

==EUROPE:

ECB: Governing Council (GC) member Francois Villeroy de Galhau says the European Central Bank still has room to ease policy, 2% in summer is a possible scenario. Adds that the German fiscal plan doesn't necessarily fuel prices. GC member Fabio Panetta says ECB must remain pragmatic in setting rates, says estimates of neutral rate have become 'less useful' (FT).

EU: France, Italy and Spain seek to boost military spending based on grants instead of loans (Politico).

==ASIA:

Japan: Governor Kazuo Ueda reiterates that the Bank of Japan will continue to raise rates if the economic outlook is realized.