Daily Report
26 de Setembro de 2022
Financial Markets | daily report 26.09.2022
  • Risk aversion continued to set the tone during a highly volatile session at the end of the week, as investors took on board signs of deteriorating economic conditions globally and the hawkish rhetoric by central banks. A fiscal plan by the UK government to cut taxes also unsettled bond and FX markets.
  • The flash PMI for September signaled the eurozone economy is probably in recession (the composite PMI fell to 48.2), more notably in Germany. In the US, the composite PMI improved but remained in contractionary territory (49.3).
  • In this context, stocks declined while sovereign bond yields rose notably. The USD strengthened further.
  • In Italy, preliminary results of the Sunday’s election suggest the center-right coalition likely obtained a majority in Parliament. On the data front, today the IFO survey is released in Germany. Later on this week, the September's flash HICP inflation is published on Thursday for Spain and Germany and on Friday for the eurozone.