Market Information Monday 4 December 2023

In November, the Dutch industry showed a milder decline per S&P Global. The purchasing managers’ index rose to 44.9 from 43.8 due to weak customer demand, reducing production and orders. Declining business confidence led to workforce and inventory cuts, with lowered prices for competitiveness as the industry shrank below 50.

S&P Global’s final figures revealed that the Eurozone industry contracted less in November. The services sector index increased to 44.2 from an earlier 43.1, revised from the preliminary 43.8. Germany, France, and Spain saw similar reductions.
Internationally, Japan and the United States also faced a decrease of the industry. China, after a month of decline, exhibited growth in November. Its purchasing managers’ index rose from 49.5 to 50.7, despite the government reporting a decrease from 49.5 to 49.4 in industrial purchasing data.

Friday saw the euro slightly above 1.09 dollars due to cooling inflation in the Eurozone. Currency trader Paul Erdmann of Ebury highlighted the impact of ECB President Lagarde and Fed Chair Powell’s potential comments on recent inflation and interest rates. ABN AMRO forecasts one or two interest rate hikes by Sweden’s central bank to manage inflation. Next week focuses on global service sector data and US employment figures. The euro rose by 0.1% to 1.0901 dollars, while the pound and Swedish krona fluctuated.

The 6M Euribor decreased with 2 basis points to 4.03% compared to previous business day. The 10Y Swap decreased with 8 basis points to 2.86% 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.