06:20 AM EDT, 06/19/2025 (MT Newswires) -- Commerzbank in its "European Sunrise" note of Thursday highlighted:

Markets: United States Treasuries see-saw around the Federal Reserve, closed softer and futures turn rangebound in Asia. E-minis faded dip on report of imminent U.S. military strike on Iran. EUR on the back foot. Oil is little changed.

Fed left rates unchanged, lowers gross domestic product growth to 1.4% from 1.7% and lifts core inflation forecast to 3.1% versus 2.8%. Fed Chair Jerome Powell says the jobs market isn't "crying out for a rate cut," while impact from tariffs on prices" is coming." Median dot for end 2025 remains unchanged (two rate cuts), moves up 25bps for 2026 and 2027, while Powell says "no one holds these rate paths with a lot of conviction."

UST: International holdings fell by $36.1 billion in April, driven by the private sector with official holdings down $4.3 billion. China was -$8.2 billion (offset by a, similar increase in Belgium).

Middle East: President Donald Trump told aides he approved Iran attack plans but is holding off to see if Iran abandons nuclear programme (WSJ). U.S. officials prepare for possible strike on Iran in coming days (Bloomberg).

==EUROPE:

ECB: European Central Bank Governing Council member Fabio Panetta says eurozone economic prospects face "substantial" risks.

Germany: Prime Minister Friedrich Merz said the government has agreed to ease the impact on state governments and local authorities from 46 billion euros tax break package, while details will be worked out in coming days.

France: Insee forecasts 0.6% gross domestic product growth in 2025, less than eurozone average, says French economy "doesn't seem to be in tune with the rest of the continent," as "growth engines are now running out of steam."