Financial Markets Daily Report26 agosto 2020
Investors traded more cautiously in yesterday's session -in spite of the meeting between U.S. and Chinese trade officials, in which they reaffirmed the implementation of the phase-one trade deal which had been signed in January. In this context, U.S. and EM stocks advanced moderately, while European stock market indices were mixed.
- Investors traded more cautiously in yesterday's session –in spite of the meeting between U.S. and Chinese trade officials, in which they reaffirmed the implementation of the phase-one trade deal which had been signed in January. In this context, U.S. and EM stocks advanced moderately, while European stock market indices were mixed.
- In fixed-income markets, sovereign yields rose across the board but euro area peripheral spreads were little changed. In FX markets, the USD depreciated modestly and the euro fluctuated slightly above $1.18.
- Brent oil prices rose towards $46 as production shut down in the Gulf of Mexico ahead of Hurricane Laura.
- On the data front, the drop in Germany's Q2 GDP was revised from -10.1% qoq to -9.7% qoq and German business sentiment continued to improve in August according to the Ifo's index (92.6 points, its highest figure since February). In the U.S., the Conference Board's consumer confidence index dropped to a 6-year low in August (84.8 points).