Financial Markets Daily Report03 December 2021
In yesterday's session, investors traded cautiously as they weighed concerns about the omicron variant with data confirming the tightness of the U.S. labor market (layoffs hit a 28-year low in November) and mounting inflation pressures (euro area producer prices rose by 21.9% y/y in October).
- In yesterday's session, investors traded cautiously as they weighed concerns about the omicron variant with data confirming the tightness of the U.S. labor market (layoffs hit a 28-year low in November) and mounting inflation pressures (euro area producer prices rose by 21.9% y/y in October).
- ECB members Fabio Panetta and Olli Rehn reiterated that factors behind the rebound in inflation are transitory and should fade during 2022, even if persisting longer than previously anticipated.
- In this context, stock indices and sovereign yields edged down in the euro area and rose in the U.S.
- In oil markets, the price of the barrel of Brent fell after the OPEC+ announced it would stick with its plans to increase output by 400k barrels per day in January. Nevertheless, after falling to $67, it returned to previous levels and fluctuated above $70.