Market Information Friday February 19th 2016

Yesterday, the Organization for Economic Cooperation and Development (OECD) published a report in which it lowered growth expectations for the global economy. The OECD expects the world economy to grow by 3.0% in 2016, whereas it forecasted a growth of 3.3% three months ago. Growth expectations for the US have been lowered from 2.0% to 1.5%, and for Europe from 1.8% to 1.4%. According to Catherine Mann, chief economist of the OECD, most countries require additional government spending to stimulate economic growth.

Yesterday, Japan issued government bonds with a negative yield. The five year bonds that have been issued on Thursday have an effective yield of -0.138%. Earlier this year, the Bank of Japan had lowered the deposit rate to -0.100%.

According to Statistics Netherlands (CBS), consumer confidence decreased in February to -1, falling 5 points compared to January. It is the third month in a row with a decreasing consumer confidence. In November 2015, consumer confidence was 9 points.

The 6M Euribor remained unchanged at -0.12%. The 10Y Swap decreased by 5 basis points to 0.57%.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: update@zanders.eu.