Financial Markets Daily Report18 April 2023
In the first session of the week, investors traded cautiously amid hawkish comments from some FOMC member and mixed results in the US corporate earnings season. In particular, Richmond Fed President Thomas Barkin said that more evidence that US inflation is easing will be needed before changing the monetary policy stance.
- In the first session of the week, investors traded cautiously amid hawkish comments from some FOMC member and mixed results in the US corporate earnings season. In particular, Richmond Fed President Thomas Barkin said that more evidence that US inflation is easing will be needed before changing the monetary policy stance.
- In this context, yields on sovereign bonds rose in the euro area and, more acutely, in the US while equities were mixed. In FX markets, the US dollar strengthened against most of its peers and the euro fluctuated above $1.09.
- Early this morning, China released its Q1 GDP figures, which showed a 2.2% q/q growth from an upwardly revised 0.6% q/q in Q4 2022. Year-on-year, GDP rose by 4.5% after 2.9%.
- Today the focus will be on more Federal Reserve member's speeches (Michelle Bowman), Q1 corporate earnings releases and on April ZEW survey for Germany and the euro area.