Market Information Friday 19 July 2024

Japanese exports rose for the seventh consecutive month in June but less than expected, with a year-on-year increase of 5.4 percent. Imports also increased by 3.2 percent, resulting in a trade surplus of 224 billion yen after deficits in April and May. Exports to China and Asia as a whole, increased by 7.2 percent and 7.7 percent, respectively, while exports to the United States rose by 11.0 percent, mainly consisting of cars and car parts. However, exports to Europe decreased by 13.4 percent.

Economists are more optimistic about the expected economic growth in Sweden this year, with a projected growth of 0.7 percent. The Riksbank is expected to cut interest rates by one percentage point before the end of March next year, which could stimulate consumer spending. This move comes amid steadily declining inflation and could end the economic stagnation that persisted throughout 2023. The Riksbank will meet twice in the third quarter of 2024 to decide on interest rate cuts.

Leading indicators for the U.S. economy continued to decline in June, as reported by The Conference Board on Thursday. The Leading Economic Index (LEI) fell by 0.2 percent to 101.1, following a 0.4 percent decline in May, and has been declining for over two years. In the first half of 2024, the LEI decreased by 1.9 percent, which is less than the 2.9 percent contraction in the second half of 2023. Despite a brief uptick in February, the downward trend persists.

The 6M Euribor decreased with 1 basis point to 3.62% compared to previous business day. The 10Y Swap increased with 1 basis point to 2.70% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented.