In the first half of 2024, global investments in fintech declined from €56 billion to €47 billion, according to a report by KPMG. The decline was most pronounced in Europe, the Middle East, and Africa, where investments dropped from €17.5 billion to €10.3 billion. The number of large deals over $1 billion also decreased, with only five deals during this period. KPMG cites geopolitical uncertainty and high interest rates as major reasons for investors’ caution.

The Swedish Riksbank has lowered interest rates again on Tuesday, after a pause in June, by 25 basis points to 3.50 percent as inflation stabilizes. However, the bank warns of uncertainties in inflation forecasts and highlights weak economic growth. If inflation remains stable, the Riksbank may consider two to three more rate cuts this year.

Producer prices in Germany fell less sharply in July than in June, with a 0.8 percent year-on-year decline, compared to 1.6 percent in June. Energy prices dropped by 4.1 percent in July, compared to 5.9 percent in June. On a monthly basis, producer prices increased by 0.2 percent in July, the same as in June, with energy prices rising by 0.5 percent.

The 6M Euribor increased with 4 basis points to 3.41% compared to previous business day. The 10Y Swap decreased with 4 basis points to 2.46% 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.

The U.S. Federal Reserve is expected to reduce interest rates by 25 basis points at each of its remaining three meetings in 2024, according to a slim majority of economists surveyed by Reuters. This reflects one cut more than predicted last month. The revision follows a weaker-than-expected July jobs report. The Federal Reserve is anticipated to lower the federal funds rate to 4.50%-4.75% by the end of 2024. Inflation is expected to remain above 2% until at least 2026.

Oil prices fell for the fourth time in five sessions, with Brent nearing $79 per barrel and West Texas Intermediate around $76, amid geopolitical tensions in the Middle East and economic concerns. Signs of economic concerns include slower economic growth in China and reduced fuel demand due to transportation decarbonization.
Asian stocks reached a one-month high, following a Wall Street rally fueled by expectations of potential rate cut signals from the Federal Reserve later this week. The MSCI Asia-Pacific index (ex-Japan) rose 0.23%. Japan’s Nikkei hit its highest level in over two weeks, up 1.9%, while Chinese blue-chips dropped 0.7%. Hong Kong’s Hang Seng Index decreased by 0.36%.

The 6M Euribor decreased with 1 basis point to 3.37% compared to previous business day. The 10Y Swap decreased with 1 basis point to 2.50% 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.

The trade surplus of the eurozone increased in June to 22.4 billion euros, compared to 18.0 billion euros a year earlier. In May, the surplus was 14.0 billion euros. Exports fell by 6.3 percent to 236.7 billion euros, while imports decreased by 8.6 percent to 214.3 billion euros.

Japan is introducing stricter regulations on foreign investments in chip production equipment to protect the national supply chain and prevent military abuse of technology. Investors are required to report investments of more than 1% in relevant companies. Japan is aiming to strengthen its own chip industry and is working with the US and the Netherlands to limit the export of chip technology to China.

According to the Bureau for Economic Policy Analysis the Dutch economy is growing slowly, with expected GDP increases of 0.6 percent in 2024 and 1.6 percent in 2025, following a minimal growth of 0.1 percent in 2023. However, government finances are deteriorating, with a rising budget deficit close to the European limit of 3 percent of GDP. Unemployment is expected to slightly increase to 3.9 percent in 2025, while purchasing power is expected to recover with a 2.5 percent increase this year and 1.1 percent in 2025. Inflation is projected to decrease from 4.1 percent in 2023 to 2.8 percent in 2025.

The 6M Euribor decreased with 2 basis points to 3.38% compared to previous business day. The 10Y Swap decreased with 1 basis point to 2.51% 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.

Unemployment in the Netherlands remained stable at 3.6 percent of the labor force in July 2024, with 370,000 unemployed individuals. The number of unemployed decreased by an average of 2,000 per month over the past three months, while the number of employed individuals also declined by 2,000 per month. The UWV recorded 164,000 ongoing unemployment benefits at the end of July, 4,000 fewer than at the end of June.

Industrial production in the United States fell by 0.6 percent in July, a sharper decline than the expected 0.1 percent decrease. Capacity utilization also dropped from 78.4 percent in June to 77.8 percent in July, lower than the expected 78.5 percent. These figures were released Thursday afternoon by the Federal Reserve.

The Japanese economy grew by 0.8 percent in the second quarter, following a contraction of 0.6 percent in the first quarter, exceeding expectations of 0.6 percent growth. Annualized growth reached 3.1 percent, while the nominal economy increased by 1.8 percent quarterly and 7.4 percent annually. Consumption rose by 1.0 percent, and economists expect this growth to continue in the current quarter due to fiscal adjustments and rising real incomes.

The 6M Euribor decreased with 4 basis points to 3.40% compared to previous business day. The 10Y Swap increased with 7 basis points to 2.52% 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.

The Dutch economy grew by 1.0 percent in the second quarter of 2024 compared to the first quarter of 2024, Statistics Netherlands reported on Wednesday. In the first quarter, the economy contracted by half a percent. The increase in GDP in the second quarter is mainly attributed to the export of goods. Investments and government consumption also contributed positively to the growth. The rise in goods exports is related to the growth of the industry.

Consumer prices in the United Kingdom rose slightly less in July than expected, but still more than a month earlier. This was revealed Wednesday by figures from the ONS statistics agency. On an annual basis, prices increased by 2.2 percent. The expectation was 2.3 percent. In the previous month, the price level increased by 2.0 percent. Prices fell by 0.2 percent month-on-month after a 0.1 percent increase a month earlier. A decline of 0.1 percent had been expected.

The economy in the eurozone slightly increased in the second quarter of 2024 compared to the first quarter, according to preliminary figures from Eurostat published on Wednesday. In the past quarter, the economy grew slightly by 0.3 percent compared to the previous quarter. The increase was also 0.3 percent in the first quarter. The figures for the second quarter were in line with economists’ expectations. On an annual basis, the economy in the eurozone increased by 0.6 percent in the second quarter.

The 6M Euribor decreased with 1 basis point to 3.44% compared to previous business day. The 10Y Swap decreased with 1 basis point to 2.45% 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.

Credit rating agency Fitch downgraded Israel’s credit rating from “A-plus” to “A,” citing increased geopolitical risks due to the ongoing conflict in Gaza, and warned of further downgrades. The agency expects higher military spending to strain Israel’s budget and debt, projecting a budget deficit of 7.8% of GDP in 2024.

UK wage growth slowed to its lowest rate in nearly two years, easing inflation concerns for the Bank of England, while unemployment unexpectedly fell to 4.2%. The decline in wage growth, combined with a surprising increase in employment, may influence the Bank’s future interest rate decisions.

U.S. manufacturers in high-risk industries are facing sharp increases in insurance costs, with some premiums doubling or tripling as insurers withdraw. This rise, driven by inflation and severe weather risks, is forcing manufacturers to consider passing costs to customers or reducing coverage.

The 6M Euribor increased with 1 basis point to 3.45% compared to previous business day. The 10Y Swap decreased with 4 basis points to 2.46% 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.

Gas prices on the Amsterdam wholesale market continue to rise, primarily due to concerns over Ukrainian attacks in a Russian region with a key gas pipeline and tensions in the Middle East. This has also driven up electricity prices, with the German annual price exceeding €100 per MWh for the first time since June.

Oil extended its first weekly gain since early July, Brent rose above $80 a barrel after nearly a 4% increase last week, while West Texas Intermediate approached $78. Traders continue to monitor Iran’s response to the assassination of a Hamas leader in Tehran as well as the developments in Russia.

Gold rose ahead of US economic data expected this week, with a focus on whether the Federal Reserve might soon shift to monetary easing. Gold was trading around $2,440 an ounce after a 0.5% decline last week. The precious metal has gained over 18% this year and remains close to last month’s record high.

The 6M Euribor decreased with 5 basis points to 3.44% compared to previous business day. The 10Y Swap decreased with 1 basis point to 2.50% 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.

Consumer prices in China rose by 0.5% year-on-year in July, higher than the expected 0.4% and the 0.2% increase in June. Food prices remained unchanged after a 2.1% drop in June. Excluding food and energy, prices rose by 0.4%, lower than the 0.6% increase in June. On a monthly basis, prices increased by 0.5% in July, after a 0.2% decline in June.

German consumer prices increased by 2.3% year-on-year in July, a slight rise compared to June. Core inflation remained stable at 2.9%. On a monthly basis, prices rose by 0.3%. The final figures confirm the preliminary data reported at the end of July.

The number of entrepreneurs in the Netherlands has risen to approximately 2.5 million, with increased diversity among them. The percentage of female entrepreneurs grew from 32% to 38% over nearly fifteen years, particularly active in personal services and clothing. Younger individuals and those over 65 are increasingly starting businesses, with the share of entrepreneurs under 30 rising from 9% to 15%, and those over 65 from 6% to 10%.

The 6M Euribor increased with 3 basis points to 3.49% compared to previous business day. The 10Y Swap decreased with 4 basis points to 2.51% 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.

The Danish tax authorities will not gain access to documents seized last year that allegedly indicate dividend fraud, as the North Holland court has decided to wait for rulings from Canada and Denmark before granting access. The case involves alleged fraud in which four Canadian pension funds are said to have wrongfully claimed dividend tax refunds. Former banker Frank Vogel, who the Danish tax authorities believe is the mastermind behind the fraud, requested a postponement of the case until the legal proceedings in Canada and Denmark are concluded, which the court has granted.

The Swiss franc has reached a ten-year high, despite recent interest rate decreases as investors seek safety during economic uncertainties. The Swiss National Bank (SNB) is under pressure to weaken the strong franc, but previous interventions have resulted in significant losses. Further interest rate decreases may slightly weaken the currency, but demand remains strong due to the franc’s status as a safe haven. The franc’s rise seems likely to continue unless unexpected factors, such as concerns over a potential inheritance tax increase, intervene.

The number of new unemployment claims in the United States (U.S.) decreased more sharply than expected in the week ending August 3, decreasing by 17,000 to 233,000 claims, while 240,000 were expected. The previous week’s claims were recorded at 250,000, slightly higher than initially reported. The number of continued claims increased slightly by 6,000 to 1,875,000 in the week ending July 27.

The 6M Euribor increased with 6 basis points to 3.46% compared to previous business day. The 10Y Swap decreased with 1 basis point to 2.55% 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.

German industrial production increased by 1.4% month-on-month in June, surpassing the expected 0.9%, following a 3.1% decline in May. On a yearly basis, production decreased by 4.1% in June, an improvement from the 7.2% decrease in May. These figures were provided by Destatis, the German statistics office.

The Japanese stock market continued its increase on Wednesday with a 3.2% gain on the Nikkei index, following the largest single-day loss since 1987 on Monday. Other Asian markets, such as the Hang Seng and SSE Composite, also increased by 1.5% and 0.4%, respectively. The gains followed a positive session on Wall Street, where investors considered the recent sell-off as a possible overreaction, and European markets are expected to open higher.

The euro decreased 0.1% on Wednesday, trading at USD 1.0916. The European currency also decreased 0.2% against the pound, trading at GDP 0.8595. The British pound increased 0.1% to USD 1.2700. The dollar was up 1.9% to JPY 147.04 after hitting a temporary low of JPY 141.85 on Monday.

The 6M Euribor decreased with 9 basis points to 3.40% compared to previous business day. The 10Y Swap increased with 5 basis points to 2.56% 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.