Market Information Wednesday 6 December 2023

Moody’s has revised the outlook for China’s credit rating from stable to negative, while maintaining the A1 rating. This adjustment is driven by concerns about the slowing economic growth, increasing debt burden of local governments, and the troubled real estate sector, as indicated in a report released on Tuesday. Moody’s anticipates that the world’s second-largest economy will grow with 4.0% in 2024 and 2025. In the subsequent five years, economic growth is expected to slow to 3.8%, as predicted by the credit rating agency. In the third quarter, China’s gross domestic product showed a year-on-year increase of 4.9%, marking a deceleration from the 6.3% growth observed in the second quarter.

In October, producer prices in the Eurozone showed a further increase, albeit at a slower pace. According to data from Eurostat, the European statistical office, the monthly rise in producer prices was 0.2%, compared to a 0.5% increase in September. On a yearly basis, producer prices in October decreased by 9.4%, indicating a decline from the 12.4% drop the previous month. Excluding energy prices, producer prices exhibited a monthly decrease of 0.2% in October, with a corresponding year-on-year decline of 0.2%.

According to data from the U.S. Department of Labor, the number of job openings in the United States decreased in October. The number of job openings in October was 8.73 million, down from 9.35 million in September and 10.47 million in October 2022.The 6M Euribor decreased with 5 basis points to 3.95% compared to previous business day.

The 10Y Swap decreased with 10 basis points to 2.73% 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.