Market Information Friday 6 June 2025

The European Central Bank (ECB) lowered interest rates by 25 basis points on Thursday, as markets had expected. The deposit rate was reduced from 2.25% to 2.00%, the main refinancing rate from 2.40% to 2.15%, and the marginal lending facility from 2.65% to 2.40%. The ECB stated that inflation is now around its 2% medium-term target. New forecasts show inflation is expected to be 2.0% this year, 1.6% in 2026, and back to 2.0% in 2027. Core inflation is projected to be 2.4% in 2025 and 1.9% in 2026 and 2027.

U.S. companies across various sectors have begun new rounds of layoffs to operate more efficiently amid economic uncertainty, following similar cutbacks last year. Job openings rose by 191,000 to 7.391 million at the end of April, but layoffs saw the largest increase in nine months. This suggests a weakening labor market, pressured by unpredictable policy changes under the Trump administration.

The U.S. trade deficit more than halved in April as imports fell sharply and exports slightly increased, according to data from the U.S. Department of Commerce. The trade deficit dropped by 55.5% year-on-year to $61.6 billion. Exports rose by 3.0% to $289.4 billion, while imports dropped by 16.3% to $351.0 billion. The U.S. had a $17.9 billion trade deficit with the EU and $19.7 billion with China in April.

The 6M Euribor decreased with 1 basis point to 2.06% compared to previous business day. The 10Y Swap increased with 7 basis points to 2.58% 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.