Financial Markets Daily Report 17 julio 2020
Investors traded more cautiously in yesterday's session as increasing coronavirus infections weighed on risk sentiment.
- Investors traded more cautiously in yesterday's session as increasing coronavirus infections weighed on risk sentiment. Stocks declined across advanced and emerging economies, the USD strengthened, commodities declined and sovereign yields ticked down.
- On the data front, June retail sales surprised on the upside in the U.S. (+2.3% yoy) but disappointed in China (-1.8% yoy), triggering a correction in Chinese stocks despite the better-than-expected Q2 GDP figures (+3.2% yoy).
- The ECB left its monetary policy stance unchanged. Officials highlighted the effectiveness of measures implemented so far, pointing that financial conditions have improved significantly and that economic activity is recovering. Yet, officials also noted that downside risks prevail and reiterated the ECB's readiness to further support the economy.
- Today European leaders start a summit over the European Commission's €750bn recovery fund proposal.