Market Information Monday 11 November 2024

Trump’s re-election has raised global economic concerns, with fears of inflation and slowed growth due to tariffs. U.S. stocks rallied as the Fed cut interest rates, and Fed Chair Jerome Powell indicated further cuts could follow, depending on economic data. The 10-year Treasury yield initially rose on inflation fears but later declined after the Fed’s announcement.

UK Chancellor Rachel Reeves faces potential fiscal challenges just 10 days after publication of her budget, with rising borrowing costs and slower growth threatening her pledge to keep annual fiscal adjustments. If the fiscal watchdog sees risks of breaking her “stability rule,” Reeves may need to impose tax hikes or spending cuts. Investor reactions to increased borrowing and economic downgrades, partly due to global trade concerns, have further strained her limited fiscal buffer.

Bolivia’s central bank reversed new gold reserve reporting rules shortly after implementation to avoid economic destabilization concerns. Initially, the rules aimed to allow biannual reporting to potentially boost liquidity for essential imports amid a currency shortage. Bolivia faces escalating economic challenges, with inflation rising and shortages worsening, partly due to political tensions between factions loyal to President Luis Arce and former President Evo Morales.

The 6M Euribor decreased with 6 basis points to 2.86% compared to previous business day. The 10Y Swap decreased with 6 basis points to 2.35% 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.