Market Information Wednesday 31 October 2018

Market Information Wednesday 31 October 2018

Yesterday, European bureau of statistics Eurostat stated that economic growth in the Eurozone slowed down in the third quarter of 2018 in comparison to the second quarter of 2018. GDP of the nineteen Euro countries increased by 0.2% in the third quarter. Economists expected economic growth of 0.4% over the same period. Growth in the third quarter was the lowest since the second quarter of 2014. The lower growth in Europe is mainly by a stagnation of growth in Italy.

Market researcher Conference Board stated Tuesday that consumer confidence in the United States has increased in October 2018 compared to September 2018. The Consumer Confidence Index (CCI) increased to 137.9 in October 2018, compared to a revised 135.3 in September 2018. The level of the CCI is the highest since September 2000.

This morning, the Bank of Japan (BoJ) decided to leave their key short-term and long-term policy rates unchanged at -0.1% and 0.0% respectively. This was in line with expectations of economists. The BoJ is expected to keep the current low rates steady for a longer period.

The 6M Euribor is unchanged at -0.26% compared to previous business day. The 10Y Swap decreased with 1 basis point to 0.94% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Tuesday 30 October 2018

Market Information Tuesday 30 October 2018

Statistics Netherlands (CBS) stated Tuesday that manufacturer confidence barely changed in October 2018 compared to September 2018. For October a value of 5.9 was recorded, compared to 5.7 in in the previous month. In addition, CBS announced that Dutch industry output prices were 4.7% higher in September 2018 compared to one year ago.

Figures published by the French statistics agency Insee show that the growth of the French economy increased in the third quarter of 2018 compared to the previous quarter. A growth of 0.4% was recorded for the third quarter, up from 0.2% in the second. Economists expected a growth figure of 0.5%. The French economy grew by 1.5% on a year-on-year basis, in line with expectations of analysts.

The United States Department of Commerce stated that consumer expenditures in the United States have increased in September 2018 by 0.4% compared to the previous month. This was in line with expectations. In August 2018 expenditures increased by a revised 0.5%.

The 6M Euribor is unchanged at -0.26% compared to previous business day. The 10Y Swap increased with 1 basis point to 0.95% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Monday 29 October 2018

Market Information Monday 29 October 2018

As share prices are becoming increasingly volatile, gold is once again attracting investors. After an exciting week on the stock exchange, in which the American S & P 500 index had to give away the annual profit, the gold price reached a level of USD 1240 per troy ounce (31.1 grams) on Friday. That is the highest level in three months. The last peak in the gold price was in 2011, when a troy ounce reached a record price of USD 1900.

Italian finance minister Giovanni Tria reported this weekend that the Italian government will help banks within Italy, when a new banking crisis occurs. The statement is remarkable because European Member States cannot help banks without permission of the European Commission.

In the macroeconomic field, the market is mainly focused on figures on economic growth and inflation in the euro zone. At the end of the week, the monthly job report of the American government will also be published. On the political level, attention goes to Italian budget plans. In Brazil, the conservative populist Jair Bolsonaro won the presidential election, which may influence the stock market index and Brazilian currency.

The 6M Euribor is unchanged at -0.26% compared to previous business day. The 10Y Swap decreased with 3 basis points to 0.94% compared to previous business day.

This weeks expected macroeconomic publications:
– Consumer Price Index (CPI) Eurozone
– Purchasing Managers’ Index (PMI) Eurozone
– Purchasing Managers’ Index (PMI) United States
– Unemployment Eurozone
– Unemployment United States
– Interest rates United Kingdom
– Interest rates Japan

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Friday 26 October 2018

Market Information Friday 26 October 2018

The monthly world trade monitor of the Dutch Bureau for Economic Policy Analysis (CPB) shows that world trade volume increased with 0.4% in August 2018 compared to the previous month. The CPB reports that compared to the growth in July 2018 of 1,5%, the world trade volume has increased at a lower rate. Furthermore, the CPB states that worldwide industrial production has increased by 0.4% on a monthly basis in August 2018.

The US Department of Labor announced that the number of first applications for unemployment benefits in the United States increased in the past week to 215,000 applications, this number concurs with the average forecast of economists. A week earlier, applications amounted to 210,000.

The German research institute Ifo stated that German producer confidence decreased in October 2018 to 102.8, compared to 103.7 in September 2018. Economists forecasted a level of 103.2, a smaller decline.

The 6M Euribor is unchanged at -0.26% compared to previous business day. The 10Y Swap is unchanged at 0.97% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Thursday 25 October 2018

Market Information Thursday 25 October 2018

After yesterday’s losses on Wall Street, the Asian share markets were also in decline today. The Japanese Nikkei decreased the most, 3.7%. Other indices also decreased in value. The stock markets are under pressure because of the trading tensions and the fear that profits of corporates are currently at their peak.

This morning, WTI crude futures prices were at USD 66.45 a barrel, which is 0.6%, below yesterday’s closing price. Due to insecurities, a sell-off in global equities and an increase in U.S. crude stockpiles. Oil prices have decreased throughout most of October, WTI oil decreased nearly 10.0% and Brent oil nearly 9.0%. Oil markets will likely remain volatile, because on November 4th the U.S. sanctions against Iran’s crude exports will kick in.

The 6M Euribor is unchanged at -0.26% compared to previous business day. The 10Y Swap decreased with 1 basis point to 0.97% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Wednesday 24 October 2018

Market Information Wednesday 24 October 2018

Last Friday, the European Commission announced that consumer confidence in the Eurozone increased in October 2018, compared to September 2018. The index that measures confidence increased from -2.9 in September to -2.7 in October. Economists had expected the index to decrease to -3.2.

After a bullish trend for the past two months the palladium price has risen to a record high of 1,144.20 dollars per troy ounce. From mid-August to yesterday, the price has increased by 35.6%. The price surge is mainly explained by increasing political tensions with Russia, one of the largest producers of palladium. Furthermore, an increase in the demand for benzene propelled cars (for which palladium is used) relative to diesel propelled cars increases demand for palladium.

According to the Recruitment and Employment Confederation’s (REC) JobsOutlook report, the employers’ confidence in the United Kingdom has reached its lowest level of the past 6 months. The REC reported that the employer’s confidence dropped by 9.0% from August 2018 to September 2018. The drop in employer’s confidence can be explained by negative expectations on the quality and availability of labor, due to uncertainty about the tax system that will follow from the Brexit negotiations.

The 6M Euribor is unchanged at -0.26% compared to previous business day. The 10Y Swap decreased with 2 basis points to 0.98% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Tuesday 23 October 2018

Market Information Tuesday 23 October 2018

Revised figures from European statistics agency Eurostat show that the nineteen eurozone countries have further reduced their debt in 2017. The state debt fell to a mean of 86.8% of the gross domestic product (GDP). This is 0.1 percent point lower than earlier estimates. In 2016 the debt was at 89.1% of GDP. Greece has the highest debt with 176% of the Greek GDP, followed by Italy with a debt 1.3 times as large as its economy. The Netherlands has reduced its government debt below the European norm of 60%, having a debt of 57% of its GDP.

The German federals statistics agency Destatis has stated that the producer prices have increased by 0.5% in September 2018 compared to the previous month. Economists expected an increase of 0.3%. In August an increase of 0.3% was recorded.

The Chicago Fed has stated that its National Activity Index has decreased to 0.17 in September 2018 from a revised 0.27 in August 2018. The positive effect of two of the four categories, production and income, and sales, orders and inventories, decreased from August. Only the personal consumption and housing category had a negative effect on the index.

The 6M Euribor increased with 1 basis point to -0.26% compared to previous business day. The 10Y Swap decreased with 1 basis point to 1.00% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Monday 22 October 2018

Market Information Monday 22 October 2018

This week the stock market is mainly focused on political activities and the interest rate decision of the European Central Bank on Thursday. On the Brexit front, British Prime Minister Theresa May will address the British Parliament on the departure from the European Union today. The Italian government has until this afternoon to explain its budgetary plans for 2019. The country received a downgrade on Friday by rating agency Moody’s to Baa3.

Today, Statistics Netherlands (CBS) announced that in August 2018 the volume of investments in tangible fixed assets increased with 6.1% compared to August 2017. In August 2018, mainly investments were made in homes, buildings, transport equipment and machinery.

According to the American industry association of brokers, home sales in the United States decreased by 3.4% in September 2018 compared to the previous month. The sale amounted to 5.15 million houses on an annual basis, compared with a revised 5.33 million houses in August 2018. Which is the lowest level in almost three years for home sales in the US.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap increased with 3 basis points to 1.01% compared to previous business day.

This weeks expected macroeconomic publications:

– Gross Domestic Product (GDP) United States
– Purchasing Managers’ Index (PMI) Eurozone
– Nominal wages United States
– Interest rates Eurozone

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Friday 19 October 2018

Market Information Friday 19 October 2018

Yesterday the British Office for National Statistics reported that retail sales decreased with 0.8% in September 2018 compared to August 2018. The fall in retail sales is mainly explained by lower expenditures on food. Economists forecasted a decrease of 0.4% in retail sales.

According to the Conference Board, the prospects for the US economy improved in September 2018. The economic barometer increased by 0.5%, which is in line with the forecast of economists. In August the index increased by 0.4%.

The US Department of Labor announced that the number of first applications for unemployment benefits in the United States decreased in the past week to 210,000 applications. A week earlier, applications amounted to 215,000. On average, economists expected a slight decrease in unemployment applications to 212,000.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap decreased with 2 basis points to 0.98% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Thursday 18 October 2018

Market Information Thursday 18 October 2018

Statistics Netherlands has announced that unemployment has dropped in the Netherlands. The unemployment rate was 3.7% in September, still is higher than the pre-crisis level of around 3.6%. Last month about 8.8 million people were employed. Of the latter mentioned group about 350,000 indicated that they have been searching for a job and could start directly.

Wednesday night European government leaders congregated in Brussels. The general consensus was positive; top leaders all spoke optimistically about a possible agreement. The biggest hurdle still is the Irish border. If both parties cannot reach an agreement regarding trade agreement for the North-Irish border, this would mean that there is no free movement of goods. For the UK this is unacceptable and the European leaders still need to find a solution for this. The UK is set to leave the EU next year march, so the government officials have until then to reach an agreement.

President Trump’s administration states that they have reduced regulatory costs by as much as USD 23 billion in the most recent budget year. Figures show that in the budgeted year 2017-2018 the White House has eliminated 57 regulations while approving only 14 new ones. Trump claims that the abolished regulations were “ridiculous ones that were hampering the economy”. Trump has received some backlash over his policy, Lisa Gilbert, vice president of legislative affairs at advocacy group Public Citizen stated that “under the Trump administration, regulators are focused only on boosting corporate profits, not saving lives or protecting the public by holding corporate wrongdoers accountable”.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap decreased with 2 basis points to 1.00% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Wednesday 17 October 2018

Market Information Wednesday 17 October 2018

ASML published its third-quarter figures and this generated a positive effect on the AEX. The sale of EUV orders has increased, each EUV system costs EUR 120 million. The target for 2020, a turnover of EUR 11 billion, will almost be reached in 2018. The expected turnover in 2018 is EUR 10.8 billion.

Revenues of the Swiss pharmaceutical company Roche have grown by more than 7% in the first nine months of 2018. In the period January-September revenues of SFR 42 billion were generated. This is mainly due to the sale of the medicines Ocrevus, Herceptin and Perjeta on the American market. Roche expects the earning per share to increase by approximately 15%.

The Saudi Crown Prince has organized a conference for economists and investors. This conference is officially called “Future Investment Initiative”, but is better known as “Davos in the Desert”. However, due to the disappearance of journalist Jamal Khashoggi, the director of the International Monetary Fund Christine Lagarde will not attend this event. Earlier, Jamie Dimon (CEO JP Morgan Chase) and Tidjane Thiam (CEO of Credit Suisse) announced they will not attend the conference.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap decreased with 3 basis points to 1.02% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Tuesday 16 October 2018

Market Information Tuesday 16 October 2018

Yesterday, the Dutch government definitively decided not to abolish the dividend tax. Last week, prime minister Rutte already stated that the government would reconsider the measure after Unilever announced that it would not move its head office to Rotterdam. The EUR 1.9 billion that is saved by not abolishing the dividend tax is invested in the further reduction of corporate taxes for large companies (to 20.5% instead of 22.25%) and SMEs (to 15% instead of 16%). Futhermore, there will be a transitional arrangement for expats who would be affected in 2019 and 2020 by the reduction of the tax benefits for this particular group. Also, EUR 200 million is structurally allocated to reducing employers’ costs on labor.

Figures published today by the Chinese statistical office show that producer prices in China increased by 3.6% on an annual basis in September 2018. This is a smaller increase than in August 2018, when producer prices rose by 4.1%. Economists expected an increase of producer prices by 3.5%. Consumer prices in China rose by 2.5% on an annual basis in September 2018.

Yesterday, the US Department of Commerce published figures showing that in September 2018 retail sales in the US have increased slightly compared to the previous month. Retail sales increased by 0.1% in September 2018 compared to August 2018. Economists expected an increase of 0.6%.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap increased with 2 basis points to 1.05% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Monday 15 October 2018

Market Information Monday 15 October 2018

The Central Bureau of Statistics (CBS) today announced that the turnover of retail trade in the Netherlands in August 2018 was 3.4% higher than in August last year. Sales volumes increased by 3.2%. Online sales increased with almost 20%.

Negotiations between the European Union and the United Kingdom on a Brexit agreement have been postponed on Sunday. Both parties argued that there was no agreement on important issues. This also applies to a solution to the Irish border issue, which is a main problem. Until the EU summit of government leaders, which starts on Wednesday evening, there will be no new negotiations.

School boards in the Netherlands must provide better accounts on what they spend their money on and why. From now on, boards will be obliged to report how much money goes to individual schools, what they add to their reserves and how much money goes to management board. The management costs and reserves must also be recorded in the benchmark. In addition to this amendment to the law, there will shortly come a legislative proposal that should strengthen the position of the participation bodies in primary and secondary education. Their agreement will soon be required when establishing the budget.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap decreased with 2 basis points to 1.03% compared to previous business day.

This weeks expected macroeconomic publications:
– Gross Domestic Product (GDP) Eurozone

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Friday 12 October 2018

Market Information Friday 12 October 2018

Due to insecurities, such as capital outflows for Latin America, the trade war and interest rates announced by the Fed Colombia is preparing for difficult economic times. Colombia’s central bank Governor Echavarria announced his nation has a reserve accumulation program which via sale of put options is “designed to buy reserves cheaply”.

European exchanges seem to be recovering cautiously after the substantial losses in the past few days. Asian exchanges are also recovering after days of losses, except for the Japanese main indices.

ABN AMRO has decided not to sell its mortgage subsidiary Stater. The sale was supposed to generate approximately EUR 225 million. However, Stater has not a lot of growth possibilities and another large company should gain benefits through synergies. Therefore, no buyer is willing to pay EUR 225 million.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap decreased with 2 basis points to 1.05% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Thursday 11 October 2018

Market Information Thursday 11 October 2018

Figures from the Export Radar of Statistics Netherlands (CBS) show that the export of goods from the Netherlands grew by 3.2% in August 2018 compared to August 2017. The growth was partly explained by a larger export of transport equipment, machines and devices. Imports grew by 3.8% in the same period compared to a year earlier.

Press agency Reuters has reported that the German government is lowering its expectations for economic growth. For 2018, the growth forecast is lowered from 2.3% on an annual basis to 1.8%, and for 2019 from 2.1% to 1.8%. The German government indicates that increasing tensions with regards to global trade is one of the biggest risks for German economic growth.

Figures published by the US government show that producer prices in the United States increased by 0.2% in September 2018 compared to the previous month. The figure is in line with expectations of economists. In August, prices charged by American manufacturers for their products fell by 0.1%.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap increased with 1 basis point to 1.07% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Wednesday 10 October 2018

Market Information Wednesday 10 October 2018

IMF warns that market participants appear to underestimate the risk of a financial shock. Asset valuations appears to be relatively high in some markets, while potential shocks to the system have increased; a ‘disorderly’ Brexit, growing non-financial debt levels exceeding 250% of GDP and a higher-than expected inflation which might trigger a sharp jump interest rates. The interaction between a decline in asset prices and the buildup of insecurities can generate adverse implications for macroeconomic activity.

China’s economy is showing signs of moderating and that could be aggravated by its trade disputes with the United States (U.S.), which has imposed tariffs on USD 250 billion worth of imports from Beijing and is threatening duties on USD 267 billion more. The IMF on Tuesday decreased its global growth forecasts due to an escalating U.S.- China trade war and growing financial strains on emerging markets.

Investors are losing interest in the dollar and US government bonds. Analysts expect a price increase for gold, but also for silver, platinum and palladium. In August, India doubled its gold imports. In addition, Zimbabwe has increased its production and both Canada and Australia are retrieving gold.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap is unchanged at 1.06% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu.

Market Information Tuesday 9 October 2018

Market Information Tuesday 9 October 2018

The International Monetary Fund (IMF) has reduced her prognosis of the economic growth of the United States (US) and China. The IMF expects a growth of 2.5% for the US and 6.2% for China. In July this year the IMF estimated a growth of respectively 2.7% and 6.4%. The global growth forecast has decreased from 3.9% to 3.7% for both 2018 and 2019. The main reason for the reductions is the continuing trade war between the US and China.

In contrast to the IMF, the Organisation for Economic Co-operation and Development (OECD) expects a stable growth for the United States and China. This was reported from the indicators for Economic growth published by the OECD yesterday. The growth in the OECD member area as a whole is decreasing. The weaker growth is caused by reduced growth figures in France, Italy and the United Kingdom. The OECD forecast a stable growth for Germany, Japan, Canada and Russia.

The Turkish government notified the Word Trade Organization that it will introduce tariffs on steel to protect the Turkish steel industry. The tariffs will amount to 25% and will be effective the 17th of October this year. This is a reaction to tariffs introduced by the United States, European Union and other countries, which caused a surge of cheap steel to the Turkish market.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap decreased with 2 basis points to 1.06% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu

Market Information Monday 8 October 2018

Market Information Monday 8 October 2018

The Chinese central bank has reduced the reserve requirements for Chinese banks. The capital reserve ratio will decrease by 1 percentage point as of October 15. This is already the fourth time this year that this ratio will be decreased. As a result of the reduction, CNY 1.2 trillion (EUR 154 billion) of capital will be released, so that consumers and companies can easier get credit. Economists expect the Chinese central bank to come up with even more reductions of the reserve requirement because of the trade war with the US.

Figures from the German Federal Statistical Office show that the production of German industry decreased by 0.3% in August 2018, compared to July 2018. Economists expected an increase of 0.3%. On an annual basis, a decrease in production of 0.1% was observed in August 2018.

Last Friday, the US Department of Labor published figures on employment in the United States. In August 2018, 134,000 new jobs were added, excluding agriculture. Economists counted on 185,000 new jobs. Unemployment decreased to 3.7% in September 2018, compared to 3.9% in August 2018.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap increased with 4 basis points to 1.08% compared to previous business day.

This weeks expected macroeconomic publications:
– Consumer Price Index YOY US
– Producer Price Index YOY US

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu

Market Information Friday 5 October 2018

Market Information Friday 5 October 2018

Yesterday, the Department of Commerce of the United States reported that factory orders increased in August 2018 compared to July 2018. In August 2018, factory orders grew by 2.3%, whereas in July 2018 factory orders decreased by 0.5% on a monthly basis. Economists expected a growth rate of 2.1%.

In August 2018, factory orders in Germany increased by 2.0% on a monthly basis, as announced by the German federal bureau of statistics. Economists expected an increase of 0.8%. In July 2018, orders decreased by 0.9%.

In calendar week 39, the number of first requests for unemployment benefits in the United States has decreased to 207,000, as announced by the US ministry of Labor. Economists expected a number of requests of 215,000. In week 38, 215,000 new requests were registered.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap increased with 3 basis points to 1.04% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu

Market Information Thursday 4 October 2018

Market Information Thursday 4 October 2018

Statistics Netherlands (CBS) reported that consumer prices in the Netherlands have increased by 1.9% in September 2018 on an annual basis. This is a decrease compared to August 2018, when consumer price inflation (CPI) reached a 5-year high at 2.3%. The lower CPI was partly explained by lower prices for airline tickets and gasoline.

Eurostat estimates show that retail sales in the eurozone fell by 0.2% in August 2018 compared to the previous month. Economists expected an increase in retail sales of 0.2%. In July 2018, retail sales in the euro area fell by a revised 0.6% compared to June. Earlier, a decrease of 0.2% was reported.

Inflation in Turkey rose to almost 25% on an annual basis in September, the highest level in 15 years. The high inflation rate is mainly caused by the decrease of the Turkish lira. Food prices rose by nearly 28% on an annual basis. Also prices of energy, transport, clothing and other services and products increased substantially. Last month, the Turkish central bank increased its policy rate in an attempt to curb inflation.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap increased with 4 basis points to 1.01% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu

Market Information Wednesday 3 October 2018

Market Information Wednesday 3 October 2018

The Asia Pacific share index fell for a third day in a row (0.6%) because of increasing commodity prices and declining financial strength of Indonesia and India. The rupiah and the rupee depreciated due to increasing oil prices and the Australian dollar fell as building data indicated a decline in economic growth.

The Italian government has indicated that it will cut their budget deficits as the pressure from the European Union increases. The government pledged to cut the deficit to 2% in 2021. It is expected that this will stabilize the bond market after the yield on 10-year Italian bonds reached its highest level in four years.

Oil prices are rising rapidly and are currently at a four year high (85 USD per barrel (WTI)). This development has led to a growing pressure for oil majors to increase investments. After years of austerity, with prices being as low as 26 USD in 2016, this increase in oil has seemed to spur investments and wages in the sector. A survey by Rigzone showed that wages have gone up by 3% in 2018, after three years of decline.

Export figures show the effects of a possible hard Brexit. Dutch Statistics reports that exports from the Netherlands to the UK stagnated compared to the same period last year, while exports to with other countries rose. Traditionally the United Kingdom is one of the most important trading partners of the Netherlands, in 2002 the UK accounted for 9.7% of total exports. However, currently the UK accounts for 7.4%, this decrease is likely caused by a possible hard Brexit.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap decreased with 2 basis points to 0.97% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: marktinformatie@zanders.eu

Market Information Tuesday 2 October 2018

Market Information Tuesday 2 October 2018

Research bureau ISM stated Monday that the economic activity in the manufacturing sector of the United States has increased less in September 2018 than in August. The index decreased from a value of 61.3 in August to 59.3. Economists expected a value of 60.

According to the European statistics agency Eurostat, unemployment in the eurozone decreased to 8.1% in August 2018, the lowest level since November 2008. The unemployment rate in July was 8.2%. For the European Union, 6.8% unemployment has been recorded for August.

Definitive figures published by market researcher Markit show that the economic activity in the eurozone has grown at a lower rate in September 2018 than in the prior month. The decreased growth is due to global trade tensions. The index had a value of 53.2 in September, compared to 54.6 in August. This has been the weakest figure in two years’ time.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap is unchanged at 0.99% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. Should you require more information about these rates, please contact us at marktinformatie@zanders.eu

Market Information Monday 1 October 2018

Market Information Monday 1 October 2018

The United States and Canada reached an agreement on the adjustment of the North American Free Trade Agreement (NAFTA) last night. The new agreement will be called the United States-Mexico-Canada Agreement (USMCA). According to the new agreements, American farmers will have greater access to the Canadian dairy market and Canada will restrict the export of cars to the United States.

Top executives from various large property funds in the Netherlands warn for possible negative consequences to the sector through a measure from the Cabinet’s Annual Budget. It will no longer be permitted for property funds such as fiscal investment institutions (FBIs) will no longer be permitted directly in real estate in 2020.

Investors will focus on a series of macroeconomic publications this week. The most prominent of these is the monthly US job report. In the US, more attention is paid to figures on factory orders. Furthermore, there will be a series of purchasing manager indices in the US and Europe. In addition, Prime Minister Theresa May will give a speech on Wednesday at a party congress about the Brexit strategy.

The 6M Euribor is unchanged at -0.27% compared to previous business day. The 10Y Swap decreased with 3 basis points to 0.99% compared to previous business day.
This weeks expected macroeconomic publications:
– Eurostat PPI Eurozone Industry Ex Construction YoY
– Markit Eurozone Manufacturing PMI SA
– ISM Manufacturing PMI SA
– U-3 US Unemployment Rate Total in Labor Force Seasonally Adjusted

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. Should you require more information about these rates, please contact us at marktinformatie@zanders.eu