Financial Markets Daily Report17 May 2023
In yesterday’s session, investors continued to trade with caution amid intensifying political negotiations in the US to raise the debt ceiling and mixed economic data releases. In Europe, the May’s ZEW survey fell in the euro area and Germany, showing that investors’ sentiment remains gloomy.
- In yesterday’s session, investors continued to trade with caution amid intensifying political negotiations in the US to raise the debt ceiling and mixed economic data releases. In Europe, the May’s ZEW survey fell in the euro area and Germany, showing that investors’ sentiment remains gloomy.
- In the US, nevertheless, retail sales and industrial production advanced at a solid pace in April (+0.4% and +0.5% m/m, respectively), signals that could potentially increase the odds of an addition interest rate hike in the coming months, as suggested also yesterday by the Richmond Federal Reserve president Thomas Barkin.
- In this context, yields on sovereign bonds rose in both sides of the Atlantic and equities declined in most advanced economies. In commodity markets, the price of the barrel of Brent and European natural gas declined and fluctuated below $72 a barrel and 32€/MWh, respectively.