Investors traded cautiously during yesterday's session despite some political noise in Germany. Friedrich Merz was electedchancellor in a second round of voting after having surprisingly lost in the first round. Euro area sovereign bond yields onlyedged higher, peripheral risk premia held steady, and the region's main equity indices ended slightly lower.
In the US, markets awaited the Fed's decision today. The FOMC is widely expected to keep rates on hold, and investors'attention will be on the Fed's evaluation of the economic outlook. Markets traded in risk off mode ahead of the meeting,with Treasury yields edging lower and equities falling.
Elsewhere, the euro/dollar cross held steady at around $1.13 per euro, while the yen gained, leaving the dollar close to142JPY. In commodities markets, oil prices recovered +3% to above $62/barrel of Brent, after hitting a four year low in theprevious session following OPEC+'s announment of a plan to increase supply starting this June.
BANCO BPI, S.A., com sede na Avenida da Boavista, 1117, 4100-129 Porto; Capital Social: € 1 293 063 324,98; matriculada na CRC Porto sob o número de matrícula PTIRNMJ 501 214 534, como o número de identificação fiscal 501 214 534. Intermediário financeiro registado na CMVM com o n° 300 e no Banco de Portugal sob o código n° 10. Agente de Seguros n.º 419527591, registado junto da Autoridade de Supervisão de Seguros e Fundos de Pensões em 21/01/2019, e autorizado a exercer atividade nos Ramos de Seguro Vida e Não Vida.