Market Information Friday 27 November 2020

The European Central Bank (ECB) is concerned about the deteriorating outlook for funding in the eurozone. ECB chief economist Philip Lane said on Thursday that the ECB will recalibrate its instruments as needed to ensure funding conditions continue to support the economic recovery. Analysts are expecting the ECB to further increase the EUR 1,350 billion buy-back program in December 2020.

The Central Planning Bureau (CPB) expects the Dutch economy to contract by 4.2 percent in 2020. For 2021, CPB is expecting growth of 2.8 percent for 2021. This estimate takes into account the availability of potential vaccines. In August 2020, the CPB expected a decline of 5.0 percent for 2020 and a growth of 3.0 percent for 2021.

New figures from Statistics Netherlands on Friday show that the index for producer confidence increased in November 2020 to a level of 3.8 negative, from 5.8 negative in October 2020. In November 2020, producers were less gloomy about the order book and the expected activity. On the other hand, producers were slightly less positive about the stock of finished products.

The 6M Euribor is unchanged at -0.51% compared to previous business day. The 10Y Swap decreased with 1 basis point to -0.25% 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.