Resultados de la búsqueda

Positive session across markets, fuelled by optimism surrounding the trade agreement reached between the Trump administration and the UK government, which has helped ease tensions and is seen as a potential blueprint for ongoing negotiations with other countries. Additionally, the Bank of England cut interest rates by 25 basis points to 4.25%, citing increased uncertainty in the economic outlook. In contrast, Norges Bank and the Riksbank held rates steady at 4.5% and 2.25%, respectively.

Investors ended the week trading with a pessimistic tone amid concerns on the economic outlook and tightening monetary policy. On a positive note, the US consumers' inflation expectations survey (University of Michigan) showed the lowest rate since last September, easing concerns that the Fed could hike rates this week by 100bp.

The US Federal Reserve’s meeting centered the stage in a risk-off session, also spurred by the escalation of Russia’s offensive in Ukraine. As expected, the central bank raised policy interest rates by 75 bp while President Jerome Powell said that interest rates will need to stay in restrictive territory for longer, as shown in the dot plot.

Investors kicked-off the week with a quiet session following last week's heavy-data week, which included US Q1 GDP and euro area inflation. This week, markets' attention will shift back to central meetings. The Fed is expected to hold rates steady in Wednesday, and the BoE is expected to deliver a 25bp rate cut on Thursday.

Global stocks rebounded and sovereign yields continued to decline as investors cemented their expectations for rate cuts ahead of the Fed's next week meeting. The USD weakened moderately across other major currencies and gold prices continued to surge.

In the first session of the week, investors' sentiment improved as sovereign interest rates declined in both sides of the Atlantic and amid better-than-expected corporate earnings releases in the US. Equity indices rose substantially across the board.

Investors' risk appetite rebounded slightly last week, a trend that largely continued into Friday's session. In the eurozone, government bond yields rose slightly, even though ECB's Holzmann, who had been advocating for a pause in rate cuts, acknowledged the disinflationary impact of tariffs and said the ECB's next rate decisions were "completely open".

As expected, the ECB kept interest rates unchanged (depo at 2%) and reinforced its meeting-by-meeting data-dependent strategy.  Euro area sovereign yields edged higher, and equities had a mixed session across the region. On the macro front, euro area GDP grew 0.2% qoq in Q3 (1.3% yoy), up from 0.1% qoq in Q2.

Risk appetite deteriorated on Thursday. Sovereign yields fell in the US after a private report (the Challenger index) showed the US economy shed more jobs than expected in October, reportedly due to AI-driven layoffs. Legal uncertainty around Trump tariffs added pressure, as Supreme Court justices questioned their validity during an ongoing hearing. The move came despite Fed officials speaking on the day pushed back against rate cuts, citing inflation risks and the lack of official data.

Central banks continued to center the stage on Thursday. On the one hand, investors continued to digest the Fed meeting, where Chairman Powell signaled a “slower for higher” approach in interest rates hikes, and, on the other, the Bank of England’s decision to increase rates by 75bp, albeit diminishing market expectations for the path ahead.

Investors started the week in a mixed mood. US Treasuries rose modestly amid growing divisions within the FOMC, as Miran reiterated the need for aggressive rate cuts, citing what he described as tight financial conditions, while Goolsbee warned against easing prematurely given persistent inflation.

Investors digested the Fed's third rate hike of the year (see our detailed analysis of the meeting here) with moderate stock market gains, relatively unchanged sovereign yields, and a mixed behavior in FX markets, where the euro eased to $1.16 while some EM currencies appreciated (such as the Turkish lira the Brazilian real) and others weakened (such as Argentina's peso).
 

Financial markets continued to digest the Federal Reserve’s decision to cut interest rates. Sovereign bond yields edged lower in the euro area and were stable in the U.S., while the dollar extended its recent weakening trend, leaving EUR/USD trading near 1.175. Futures markets continued to price in two rate cuts for next year, despite a seemingly divided FOMC.

Markets ended Friday mixed as Fed guidance revived rate-cut bets, tempering weak sentiment in Asia and Europe. Comments from Fed Williams suggesting December interest rate cuts could align with inflation goals boosted markets' expectations for such event and drove US Treasury yields slightly down.

US President Trump announced a 90-day pause on the so-called “reciprocal" tariffs for all targeted countries, but still maintained the 10% general tariff rate and raised the tariff rate for China to 125% after both countries’ authorities escalated the tension. US stocks rallied and the S&P had its largest intraday gain in over 17 years (+9.5%).

In yesterday’s session, the US Federal Reserve meeting centered the stage. It raised official interest rates by 50bp up the 4.25%-4.50% target range, a slowdown in the pace of monetary policy tightening, but still a large move by historical standards. Jerome Powell signaled that ongoing interest rate hikes will be necessary to return price stability.

Investors ended the week on a positive note, as risk appetite increased on the back of the ECB’s rate cut, another round of stimulus measures announced by the Chinese authorities, and strong Q3 US corporate earnings.

Financial markets had a mixed performance on Wednesday. US Treasury yields were flat as the Fed kept rates unchanged and Powell said the Fed was in no rush to cut rates and will wait to see the impact of Trump's policies on the economy.