Market Information Monday 27 May 2019

The Netherlands Bureau for Economic Policy Analysis (CPB) announced in their monthly World Trade Monitor that world trade volume increased by 0.5% in March 2019 compared to the previous month. In February 2019, world trade volume declined by a revised 1.1% compared to the previous month. As a result, the global trading volume for the first quarter of 2019 declined with 0.3% compared to the fourth quarter of 2018. Increasing trade tensions in the world are mentioned as the main reason for the declining world trade.

Jean-Claude Juncker, spokesperson for the European Commission President, said that the resignation of British Prime Minister Theresa May will not lead to a new Brexit deal. According to Juncker there will be no change in the divorce agreement as agreed with the May government. However, Juncker is “willing to work with the new British Prime Minister on an orderly departure of the British from the EU, as previously agreed”. The two major candidates to succeed May are Boris Johnson and Dominic Raab. Both are openly against the current Brexit deal and would like to maintain a much firmer stance towards the EU.

ING has reported in its monthly investor barometer that investor confidence increased slightly in May 2019 compared to a month earlier. The increase of investor confidence means that investors indicate that they expect stock prices to rise on balance over the next three months. The positive sentiment is partly caused by the rising stock markets in the first months of this year. However, some investors think that sentiments on the stock markets have been overly positive.

The 6M Euribor is unchanged at -0.24% compared to previous business day. The 10Y Swap increased with 1 basis point to 0.41% 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.