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Daily Archives: 22nd April 2019

22nd April 2019

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MARKET CLOSE:
iTraxx Main

57.5bp

iTraxx X-Over

247.5bp

🇩🇪 10 Yr Bund

0.02%, -5bp

iBoxx Corp IG

B+127.4bp, +0.8bp

iBoxx Corp HY

B+338.3bp, +2bp

🇺🇸 10 Yr US T-Bond

2.56%, -2bp

🇬🇧 FTSE 100

5993.28, (-0.37%)
🇩🇪 DAX

11073.87, (+0.07%)
🇺🇸 S&P 500

2955.45, (+0.24%)

Stuttering into a policy response

We head into the final week of the month reeling from a weak set of economic data from the Eurozone, which came just a day after China posted better than expected GDP numbers for the first quarter. French and German PMIs for the manufacturing sector show that activity has slumped and is set to remain weak (in contraction). Services are doing better in these two countries, but for the block as a whole are weakening, too. The euro has weakened, rates got a better bid, equities rose (because of the weak currency) and we’re back to square one in a flash.

Markets habitually cling on to positive data hoping that the macro tide has turned, but in reality, we know it hasn’t and the central banks are surely close to a policy response.

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