Financial Markets Daily Report14 April 2023
Risk appetite extended across financial markets on Thursday, with sentiment lifted by resilient economic data and further signs that inflationary pressures are easing. The focus today turns to the kickoff of the Q1 corporate earnings season, with results from some large US banks.
- Risk appetite extended across financial markets on Thursday, with sentiment lifted by resilient economic data and further signs that inflationary pressures are easing. The focus today turns to the kickoff of the Q1 corporate earnings season, with results from some large US banks.
- In particular, PPI inflation in the US eased more than expected in March (2.7% y/y after 4.9%) while new jobless claims fell modestly last week. In the eurozone, industrial production surprised on the upside, with a 1.5% m/m rebound in February. In China, exports of goods shot up 14.8% y/y in March, the first annual gain since September.
- In this context, stock indices rose across the board while sovereign bond yields ticked up. The USD depreciated against peers, trading above 1.10 against the EUR. In commodity markets, oil prices fell modestly after the OPEC flagged risks of a slowing demand for the summer season.