Market information Wednesday April 6th 2016

Tuesday, the yield on German ten-year government bonds dropped temporarily below 0.10%. During the day a low of 0.081% was reached. The yield on Dutch ten-year government bonds was 0.298%. The low yields are primarily caused by the large-scale purchase of government bonds by the ECB and concerns among investors about the growth of the world economy.

Yesterday, research firm Markit presented its purchasing managers index (PMI) for the Eurozone. Although the index rose from 53.0 in February to 53.1 in March, growth was lower than previously expected.

Tuesday, the central bank of India has lowered interest rates by 25 basis points from 6.75% to 6.50%. The interest rate reduction is a consequence of declining inflationary pressures. For 2017, the central bank of India expects an inflation rate of around 5.00%.

Yesterday, European stock markets ended the day with losses between 1.20% and 2.80%. The AEX index lost 1.70% and closed the day at 428.85 points. Investors reacted negatively to disappointing data about the German economy. Yesterday, the German Bureau of Statics revealed that the number of factory orders in Germany dropped by 1.20%. Analysts had expected an increase of 0.30%.

The 6M Euribor remained unchanged at -0.13%. The 10Y Swap decreased with 2 basispoints to 0.50%.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented. For more history of these rates or other rates feel free to ask: