Daily Report

27 de Março de 2020
Daily Report 27.03.2020
  • Markets rallied again (particularly in the U.S.) as sentiment found support on the economic packages announced in the last days and shrugged off data releases (U.S. jobless claims surged to a record 3.3 million last week). Stocks rose across the board, sovereign yields nudged down and corporate spreads continued to narrow.
  • Euro area sovereign yields dropped across core and peripheral countries, supported by the ECB's clarification that the €750bn asset purchases of its Pandemic Emergency Purchase Programme are not subject to issuer/issuance limits.
  • On the policy front, Fed Chair Jerome Powell reiterated the Fed's determination to act "aggressively" and pointed that the Treasury's commitment of $450bn to the Exchange Stabilization Fund will allow the Fed to unleash $4tn for credit.
  • Yesterday's EU summit ended with no agreement on an area-wide strategy against the covid-19, but leaders pledged to meet again in two weeks.