Market Information Monday 25 November 2019

The Dutch State will gradually extend the average duration of the debt and swap portfolio to 8 years in the coming years, from the current 6.4 years. The Dutch State aims to lower the funding costs using current low interest rates. This was highlighted in the new policy framework that the Minister of Finance, Wopke Hoekstra, sent to the Parliament. The standard for the so-called “interest risk amount” for the short term will be increased from 18% to 30%.

A preliminary estimate by British market researcher Markit shows that activity in the eurozone industry decreased at a lower rate in November, compared to October. The purchasing managers index increased to a level of 46.6, compared to 45.9 in October. A level below 50 indicates contraction.

The Global Times wrote this morning that China and the United States (US) are approaching a partial trade deal. According to this Chinese newspaper, China also wants to discuss about further agreements in the future. The American president Donald Trump spoke of a possible quick agreement before the weekend.

The 6M Euribor is unchanged at -0.34% compared to previous business day. The 10Y Swap decreased with 4 basis points to 0.05% 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.