Market Information Friday 5 July 2024

In the first quarter, assets of Dutch pension funds increased by 2 percent to € 1,687 billion, mainly due to capital gains on stocks and participations totaling nearly € 36 billion. The Dutch Central Bank reported that the global MSCI stock index rose by 11 percent, resulting in a € 26 billion increase in equities. Participations in investment funds rose by € 10 billion, despite a decline in the value of debt funds. On the other hand, the value of debt securities decreased by € 9.4 billion, and the value interest rate derivatives dropped by € 2 billion. Pension liabilities slightly decreased by € 0.9 billion.

German factory orders fell by 1.6 percent in May compared to the previous month, contrary to analysts’ expectations of an increase. This marks the fifth consecutive month of decline. On an annual basis, orders in May dropped by 8.6 percent, following a 1.8 percent decrease in April. Statistics bureau Destatis released the figures on Thursday.

The Portuguese government plans to reinstate controversial tax benefits for expats, despite criticism that tax benefits exacerbate the housing market crisis. Former Prime Minister Antonio Costa abolished these tax benefits in 2023, the benefits cost the treasury about €1.5 billion in 2022. From 2009 until the end of 2022, expats in Portugal enjoyed significant tax advantages on both domestic and foreign income, including pensions. The new policy, however, restricts tax benefits to the domestic income of expats.

The 6M Euribor is unchanged at 3.68% compared to previous business day. The 10Y Swap increased with 2 basis points to 2.85% 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.