Market Information Wednesday 1 July 2020

The price of gold has increased to its highest level since November 2011 due to the turbulent financial markets caused by the corona crisis. This year, the price of the precious metal is rising significantly as investors seek safe havens to invest in because of the uncertainties surrounding the virus. The price of a troy ounce of gold (31.1 grams) currently amounts to more than USD 1,800. As a result, the price of gold is nearing the record of more than USD 1,900 reached in September 2011. Since the beginning of this year the gold price has increased by approximately 18%.

According to preliminary figures from the European statistical office Eurostat, inflation in the Eurozone has increased slightly in June compared to May. Inflation in June is 0.3% on a yearly basis. In May inflation amounted to 0.1%. Price increases for food, alcohol and tobacco were the main drivers of inflation. Core inflation, which excludes the impact of fluctuating energy and food prices, amounted to 0.8% in June, compared to 0.9% in May.

Consumer confidence in the United States economy improved significantly in June compared to May.  This was announced by market researcher Conference Board. The confidence indicator noted a score of 98.1 against an adjusted 85.9 in May. Economists expected a score of 91.4.

The 6M Euribor decreased with 1 basis point to -0.29% compared to previous business day. The 10Y Swap is unchanged at -0.18% 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.