Daily Report

27 de Outubro de 2025
Financial Markets | daily report 27.10.2025

Investors ended the week on an upbeat note. Euro area PMIs suggested activity expanded during October (the composite index rose from 51.2 to 52.2), leading to higher sovereign yields and gains in the main equity indices. Cooler-than-expected U.S. inflation reinforced expectations of a Fed interest rate cut and boosted stock markets. The EURUSD held close to 1.16.

In commodities, Brent crude oil continued to trade near $66 per barrel following fresh U.S. sanctions on Russia’s two largest oil companies, while the European gas benchmark held close to €32/MWh. Gold prices continued to ease but remained around $4,100 per ounce, after a strong rally that has lifted prices by nearly 50% this year.

This week, the focus will be on central bank meetings. The Fed will kick things off on Wednesday, with markets fully pricing in a 25bp rate cut. The Bank of Canada will also meet on Wednesday (-25bp expected), and the ECB will round off the week with its meeting on Thursday, where we expect the Governing Council to hold rates steady.