Daily Report

9 de Maio de 2024
Financial Markets | daily report 09.05.2024
  • In another session without major macroeconomic references, monetary policy took center stage. The Riksbank decided to reduce its official interest rate by 25 bp to 3.75%, the first cut since 2016, and ECB and Fed officials commented on their respective economic and monetary policy outlooks.
  • Belgium's central bank president Pierre Wunsch said that he sees room for a 50bp rate cut this year and argued that there are more risks by keeping rates too high for too long than by easing too early. In the US, Boston Fed president Susan Collins explained that a slowdown in economic activity will be necessary to see inflation reaching 2% durably.
  • In this context, yields on sovereign bonds edged modestly up on both sides of the Atlantic and equities managed to advance across the board.
  • Today the focus will be on the BoE monetary policy meeting, where the interest rate is expected to be held at 5.25%.