Financial Markets Daily Report09 March 2023
Speaking in the second day in Congress, Fed President Powell clarified that no decision had yet been made about the pace of monetary policy tightening, noting that the FOMC would consider higher rate hikes only if the totality of the data pointed in that direction. Before the next meeting, February inflation and employment data will be released.
- Speaking in the second day in Congress, Fed President Powell clarified that no decision had yet been made about the pace of monetary policy tightening, noting that the FOMC would consider higher rate hikes only if the totality of the data pointed in that direction. Before the next meeting, February inflation and employment data will be released.
- In this sense, yesterday’s data on US employment suggested that there is still an elevated degree of tightness, with ADP employment monthly creation of 242k and a modest decline in JOLTS vacancies (–410k). In the euro area, Q4 GDP was revised downwards from +0.1% to 0.0% q/q.
- In this context, yields on US sovereign bonds continued to rise but fell in Europe. Equities managed to register modest advances in both sides of the Atlantic but declined in most emerging economies. Elsewhere, the price of the barrel of Brent declined below $83, driven by weak trade data in China and concerns about demand in advanced economies.