Market Information Thursday 30 April 2020

The Federal Reserve announced after its policy meeting that it will continue its bond purchase programme. However, according to the Fed, there is currently no need to further cut its key interest rate. After two interest rate cuts in March, the key interest rate is currently in a range of 0.00% to 0.25%. Yesterday, it was announced that the US economy shrank 4.7% year-on-year in the first quarter of 2020. The contraction for the second quarter of 2020 is projected to be even higher than in the first quarter.

Statistics Netherlands reported that Dutch retail turnover in March 2020 increased with 3.5% compared to March 2019. Sales volume grew by 2.0%. The differences between the various sectors within the retail sector are large. Hardware stores and home decorating stores recorded the largest increase in turnover since the figures were first published in 2005, while clothing and shoe stores suffered a large loss of turnover. Supermarkets and drugstores also experienced strong sales growth.

Based on provisional figures, the German federal statistics agency Destatis has announced that inflation in Germany was 0.8% in April 2020, compared to 1.4% in March 2020. The decrease was partly due to lower energy prices. Based on the European harmonized measurement method, German inflation was also 0.8%, compared to 1.3% in March.

The 6M Euribor decreased with 1 basis point to -0.16% compared to previous business day. The 10Y Swap decreased with 2 basis points to -0.09% 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.