Financial Markets Daily Report27 July 2021
Asian stocks dropped markedly on Monday, following the crackdown by the Chinese government on education and tech companies. Investors in Europe and the U.S., however, shrugged off the spike in volatility, bolstered by optimism over the corporate earnings season.
- Asian stocks dropped markedly on Monday, following the crackdown by the Chinese government on education and tech companies. Investors in Europe and the U.S., however, shrugged off the spike in volatility, bolstered by optimism over the corporate earnings season.
- In fixed-income markets, sovereign yields were little changed across both sides of the Atlantic as investors eye the outcome of this week's Fed monetary policy meeting. In FX markets, the USD weakened moderately against the major currencies and the EUR fluctuated around $1.18.
- On the data front, the ifo Index hinted at some clouds over Germany's business sentiment in July. The ifo Business Climate Index declined to 100.8 points (down from June's 101.7, a two-year high) as companies pointed to supply bottlenecks and concerns over newly rising infections.