Market Information Wednesday 20 March 2024

China has tightened regulations on consumer credit companies to restore confidence in the financial sector and end widespread “shadow banking.” The new rules, effective on April 18th, demand higher capital requirements for non-banking loans and stricter investor ownership, significantly raising the thresholds for companies offering personal loans other than for housing or vehicles.

The euro experienced downward pressure on Tuesday as market expectations that the U.S. Federal Reserve would leave interest rates unchanged, interpreted as an implicit rate hike, led to an increase in the dollar’s value. This sentiment was further influenced by mentions of potential discussions on rate cuts by European Central Bank officials in an upcoming meeting.

In February, the number of houses starting construction in the U.S. significantly increased, alongside a rise in issued building permits, according to government data. Construction starts surged by 10.7% monthly to 1.521 million homes on an annualized basis, exceeding economists’ expectations of a 7.4% increase, while building permits rose by 1.9% monthly to 1.518 million, also surpassing forecasts.

The 6M Euribor increased with 1 basis point to 3.92% compared to previous business day. The 10Y Swap is unchanged at 2.72% 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.