Market Information Friday 7 February 2020

ECB President Christine Lagarde warned the European Parliament on Thursday that due to the low interest rates and low inflation, the possibilities for the ECB and other central banks to further widen monetary policy in the event of an economic downturn are limited. Earlier this week, the deputy president of the ECB Luis de Guindos already warned that negative side effects of the loose monetary policy are becoming more visible.

The three American stock markets closed higher on Thursday. The Dow Jones rose 0.30% while the Nasdaq and the S&P 500 won 0.67% and 0.33% respectively. Investors reacted positively to China’s plans to halve import tariffs on some American goods. Later today, the US Department of Labor will publish its job report. Economists expect 163,000 new jobs in January 2020 which would lead to the lowest unemployment rate in half a century.

The Asian stock markets closed lower on Friday. The Japanese Nikkei, Hang Seng in Hong Kong and the combined stock market in Shanghai lose between 0.2% and 0.7%. The European stock markets seem to follow the losses on the Asian stock markets on Friday. On Thursday, the AEX index had shortly reached 619.03 points, the highest position since 2001.

The 6M Euribor decreased with 1 basis point to -0.35% compared to previous business day. The 10Y Swap decreased with 1 basis point to 0.01% 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.