Market Information Thursday 28 November 2024

French markets are experiencing turbulence due to fears of a government collapse as Prime Minister Michel Barnier struggles to pass a budget involving € 60 billion in cuts and taxes without a parliamentary majority. The resulting sell-off has pushed French bond yields above 3%, and significant market indices like the Cac 40 have seen notable declines, especially affecting financial institutions. Political tensions intensify as far-right leader Marine Le Pen threatens a no-confidence vote, raising concerns over France’s fiscal health and its ability to meet EU debt targets.

US farmers are protesting the surge in Chinese used cooking oil imports, which are undermining domestic crop investments for low-carbon fuels under the Inflation Reduction Act. The law’s loopholes allow these imports due to unrestricted tax credits, threatening rural economies. Farmers are urging regulatory changes to prioritize American-grown feedstocks amid policy uncertainties.

President elect Donald Trump’s proposed 25% tariff on Canadian oil imports is likely to raise US gasoline prices, as Canada supplies over half of US crude imports. The tariffs aim to address issues like migration but risk disrupting integrated supply chains and North American energy security. US refiners depend on heavier Canadian crude, and analysts warn that replacing imports with domestic production is difficult, potentially leading to higher fuel costs for consumers.

The 6M Euribor decreased with 3 basis points to 2.68% compared to previous business day. The 10Y Swap decreased with 1 basis point to 2.23% 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.