Market Information Friday 8 October 2021

With 50 votes in favor and 48 against, the U.S.’ Senate agreed to allow the debt ceiling for the federal government to be raised. The US federal government is now allowed to borrow USD 480 billion more than before. Without this increase, the federal government was at risk of no longer being able to meet its financial obligations by mid-October. The bill must still be approved by the U.S. House of Representatives before it comes into effect.

Activity in China’s service sector, as measured by the Caixin/Markit index, resumed its upward trajectory in September. In August this year, the index dropped to the lowest 46.7, the lowest level since the outbreak of the coronavirus in China. This drop was primarily caused by a local outbreak of the virus in Jiangsu province. In September, the index rose to 53.4, where values above 50 indicate economic expansion.

Consumer prices in the Netherlands increased at a faster pace in September than in August. In September, the year-on-year inflation rate was 2.7% compared to 2.4% in August. It was mainly the price development of gas and electricity prices that drove prices upwards in September. On an annual basis, energy prices were 19.4% higher in September.

The 6M Euribor is unchanged at -0.53% compared to previous business day. The 10Y Swap is unchanged at 0.19% 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.