Financial Markets Daily Report 21 April 2023
Investors traded with caution in yesterday’s session, amid mixed economic data releases and hawkish central banks’ communication. In particular, the minutes of the last ECB meeting showed how Governing Council members agreed to further tighten monetary policy if the inflation outlook in March’s projections is confirmed.
- Investors traded with caution in yesterday’s session, amid mixed economic data releases and hawkish central banks’ communication. In particular, the minutes of the last ECB meeting showed how Governing Council members agreed to further tighten monetary policy if the inflation outlook in March’s projections is confirmed.
- On the data front, euro area consumer confidence edged up in April according to the European Commission (from –19.1 to –17.5). In the US, initial jobless claims rose by 5k to 245k, while continuing claims for unemployment benefits rose from 1.804k to 1.865k, pointing towards some cooling in the labor market.
- In this context, equities slipped across the board and yields on sovereign bonds declined. In the euro area, peripheral spreads edged modestly up. Today the focus will be on April flash PMI for the main advanced economies, which will be one of the first signals on how economic activity has started Q2 2023.