Financial Markets Daily Report 24 abril 2023
Investors ended the week sticking with a cautious approach, taking on board mixed corporate earnings and resilient economic sentiment data pointing to more monetary policy tightening ahead. For the ECB, VP Luis de Guindos said core inflation remains “very sticky”and added that the next ECB moves will be based on data.
- Investors ended the week sticking with a cautious approach, taking on board mixed corporate earnings and resilient economic sentiment data pointing to more monetary policy tightening ahead. For the ECB, VP Luis de Guindos said core inflation remains “very sticky”and added that the next ECB moves will be based on data.
- On the data front, the composite PMI edged up from 53.7 to 54.4 in April in the eurozone, led by a strong reading in the service sector. In the US, a recovery in the service sector also pushed the composite PMI to 53.5 (from 52.3).
- Stocks were little changed, closing the week with mixed results in both sides of the Atlantic. Sovereign bond yields ticked up while the USD depreciated modestly against peers.
- The focus this week will turn to the release of Q1 GDP for the US (Thursday) and the eurozone (Friday), alongside April’s flash HICP (Spain, France and Germany). The Bank of Japan also holds its monetary policy meeting on Friday.