Financial Markets Daily Report10 January 2023
In the first session of the week, investors digested the US employment report and the HICP inflation data released last Friday together with comments from central bank officials. In particular, San Francisco's Fed President Mary Daly said that a 25bp or 50bp hike in the next meeting are both on the table and pointed to a terminal rate over 5%.
- In the first session of the week, investors digested the US employment report and the HICP inflation data released last Friday together with comments from central bank officials. In particular, San Francisco's Fed President Mary Daly said that a 25bp or 50bp hike in the next meeting are both on the table and pointed to a terminal rate over 5%.
- In the euro area, the Sentix investor confidence indicator rose in January to -17.5 from -21, the highest level since Jun-2022. In this context, yields on sovereign bonds edged modestly up in Europe while decreasing in the US. Equities rose in most euro area trading floors and were mixed in the US.
- In commodity markets, the price of the barrel of Brent rose towards $80 after China opened their borders, fueling demand expectations, while the price of European natural gas also went up.
- Today the World Bank is due to release its global economic prospect report.