Financial Markets Daily Report04 septiembre 2020
In yesterday’s session, investors’ sentiment worsened following concerns of overvaluations in some risky assets and mixed economic data releases. In particular, August Composite PMIs came out weaker-than-expected in most euro area countries (Spain, Italy and France) and surprised positively in Germany, the US and China.
- In yesterday’s session, investors’ sentiment worsened following concerns of overvaluations in some risky assets and mixed economic data releases. In particular, August Composite PMIs came out weaker-than-expected in most euro area countries (Spain, Italy and France) and surprised positively in Germany, the US and China.
- In this context, stock indices declined across the board, particularly so in the US where the technology heavy-weighed Nasdaq index declined by 5%. In fixed-income markets, yields on sovereign bonds edged down in the euro area and in the US.
- In FX markets, the euro weakened slightly against safe-haven currencies such as the Swiss franc and, to a lesser extent, the Japanese yen and the US dollar.
- Today, the focus will be on the August employment report in the US.