Market Information Thursday 20 October 2022

US stock markets struggled for direction on Wednesday as a surge in Treasury yields to 14-year highs on expectations of bigger interest rate hikes dampened optimism from a bright start to the earnings season. The yield on the benchmark 10-year Treasury note climbed to its highest levels since July 2008 in a steep selloff in U.S. government bonds, with a weak U.S. housing report failing to deter investors from selling bonds.

The British pound fell on Wednesday after data showed surging food prices pushed British inflation into double digits last month, leaving investors to weigh up the outlook for interest rates after the scrapping of most of the government’s “mini-budget”. Wednesday’s consumer price index (CPI) data showed the CPI increased by 10.1% in annual terms in September.

Israel’s government is preparing to issue government bonds using a blockchain technology platform, the Tel Aviv Stock Exchange (TASE) said on Wednesday. Implementation of advanced technologies such as blockchain, the TASE said, would reduce costs, shorten the duration issuance and clearing of government bonds, improve transparency and mitigate risks.

The 6M Euribor increased with 1 basis point to 2.04% compared to previous business day. The 10Y Swap increased with 6 basis points to 3.25% 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.