Market Information Thursday 13 June 2019

Statistics Netherlands stated that inflation has decreased in the Netherlands in May 2019. Inflation in May amounted to 2.4%, compared to 2.9% in April 2019. Using the harmonized European measurement method (HICP), inflation fell from 3.0% in April to 2.3% in May. The decrease was partly caused by lower fuel prices and lower prices of airline tickets.

The US Treasury Department announced that the budget deficit in the United States has increased. In the first eight months of the fiscal year, which runs until October, the deficit rose to USD 739 billion. This is an increase of USD 206 billion. Government income increased by 2.3%, mainly due to the import tariffs imposed on Chinese products. However, this was offset by a 9.3% increase of government expenditure. Analysts generally expect the budget deficit to increase to USD 1,000 billion in the coming years.

Figures from the Chinese National Statistical Office show that inflation continued to rise in May 2019. Inflation in May was 2.7%, compared to 2.5% the month before. The increase was caused by higher food prices in China (caused by decreasing inventories). For example, the price of pork increased by 18% compared to a year earlier, and the price of fruit increased by an average of 27%.

The 6M Euribor is unchanged at -0.26% compared to previous business day. The 10Y Swap increased with 1 basis point to 0.28% 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.