Evolution of the international financial markets and evaluation of the main events and economic indicators of the previous day session. Available in English.
Yesterday's FOMC meeting was received without major surprises by financial markets. The Fed announced, as broadly expected, that the tapering on asset purchases would start soon if economic indicators come in as expected and that net asset purchases would finish by mid-2022.
In yesterday’s session, investors’ sentiment improved as concerns on Chinese Evergrande’s fallout eased.
Financial markets started the week with a risk-off session fuelled by concerns that Evergrande, a giant property developer in China, is facing a liquidity crisis and might not be able to service its debt repayments.
In a session with a Triple witching hour in the U.S., an event that usually increases volume and volatility as several futures and options expire simultaneously, stock indices declined in the euro area and in the U.S. while sovereign yields edged moderately up on both sides of the Atlantic.
Markets were mixed on Thursday. EM and U.S. stocks ended lower while European equities rebounded from a seven-week low, led by the travel and leisure sector.
Yesterday, investors continued to trade in a cautious mood. Asian stocks dropped after weak retail sales and industrial production data in China. In advanced economies, European equities declined while U.S. stocks rose on the back of greater optimism on the U.S. economic outlook.
Markets traded in a cautious mood in yesterday's session. Stocks were mixed across advanced and emerging economies while in FX markets the USD strengthened against the major currencies. In commodity markets, prices were little changed.
Markets started the week on a moderately positive note. In a session with no major economic releases, volatility declined, stocks rose moderately across advanced economies, and EM equities were mixed.
Investors ended the week in a mixed mood. Volatility jumped and stock markets declined across many advanced economies. In contrast, EM equities posted moderate gains.
Financial markets ended the day with mixed results, as investors digested a decision by the ECB to scale down its asset purchases and, separately, hawkish comments by some Fed officials about the likely start of tapering this year. These fears outweighed positive labour data in the US (new jobless claims fell to 310k last week, a pandemic-era low).
In yesterday’s session, investors continued to trade with a risk aversion mood, extending recent losses across the main equity markets. In its Beige Book, the Fed noted that economic growth is downshifting due to the spread of the Delta variant, while several Asian countries are extending restrictions to control the outbreak.