Financial Markets Daily Report20 October 2025
On Friday, equity markets on both sides of the Atlantic opened with losses as investors weighed concerns about credit quality in the US after two US regional lenders disclosed loan issues. However, during the day those concerns eased, allowing the US indices to close with gains and the Europeans to partially recover.
Government yields rose, especially in the US, as risk sentiment recovered. The dollar strengthened against all its major peers and the euro depreciated. The price of crude oil edged higher and gold prices fell after hitting historical highs above $4,300/ounce.
This week, investors will be attentive to Wednesday’s release of UK inflation figures for September. In the US, the government shutdown has forced all data releases to be temporarily cancelled, except for the CPI for September, that will be released on Friday.