Daily Report

24 de Junho de 2019
Daily Report 24.06.2019
  • Financial markets begun the week on a relatively quiet mood. Yields on sovereign bonds remain at low levels, as investors are considering that the monetary policy of main central banks will become more accommodative soon. The yield of the 10-years Bund remain around -0.30% in the beginning of the session. And in Italy, the borrowing costs fell to 2.10 on Monday from 2.15 in the end of the week, as the European Commission decided to give more time to the Italian government to come up with sufficient commitments in order to improve its fiscal situation (reduce deficit and debt). In the forex market, the euro appreciated against the dollar, supported by the fact that the Federal Reserve signaled that it could cut interest rates soon. (The ECB also adopted a more accommodative speech, however it has less room to reduce interest rates: the depo rate is at -0.4% and the refi-rate is at 0.0%).
  • This week it will be released preliminary inflation rates for June in several countries of the euro zone. Consensus is expecting a slowdown on the pace of growth of consumer prices.