Sunset Friday, November 18, 2022 Daily Market Overview Click here to read the PDF-version of this report. Markets • Yesterday, Fed’s Bullard pushed back on recent ‘dovish’ market pricing as he said it is necessary for the Fed policy rate to be raised at least to at least 5.00/5.25%. ECB’s Lagarde in Read more…
Friday, 28 October 2022 Dear reader, There will be no KBC Economics Markets reports on Monday October 31 and Tuesday November 01. Please click here to read the PDF version Markets • The ECB hiked its policy rates by another 75 bps yesterday, bringing the total effort to 200 bps Read more…
Sunset Thursday, October 27, 2022 Daily Market Overview Click here to read the PDF-version of this report. Markets • The ECB raised its key policy rates by the expected 75 bps for a second time straight. The deposit rate now stands at 1.5%. The statement contained some dovish twists compared to the Read more…
Thursday, 27 October 2022 Please click here to read the PDF version Markets • This week’s correction higher in core bonds continued yesterday. The Bank of Canada’s decision to “only” hike by 50 bps (see below) added to the case that the Fed could do the same from December against Read more…
Sunset Wednesday, September 28, 2022 Daily Market Overview Click here to read the PDF-version of this report. Markets • The heavy UK Gilt sell-off triggered a response by the Bank of England. They consider the repricing, especially at the very long end of the curve, as a material risk to UK financial stability Read more…
Sunset Friday, September 9, 2022 Daily Market Overview Click here to read the PDF-version of this report. Markets • A75 bps rate hike is not the new norm (according to ECB’s Lagarde yesterday at the ECB press conference). Also the Fed pledged to set interest rates in line with incoming economic data. Read more…
Friday, 9 September 2022 Please click here to read the PDF version. Markets • The world’s two biggest central banks were in focus yesterday. The ECB jacked up interest rates by an unprecedented 75 bps to bring the deposit rate at 0.75%. Growth may grind to a halt in the Read more…
Sunset Thursday, September 8, 2022 Daily Market Overview Click here to read the PDF-version of this report. Markets • The ECB hiked its policy rates by 75 bps: 0.75% for the deposit rate and 1.25% for the marginal lending rate. That makes a cumulative 125 bps tightening over just two meetings. All else Read more…
Sunset Thursday, September 1, 2022 Daily Market Overview Click here to read the PDF-version of this report. Markets • Over the previous days, Fed and ECB policy makers advocating a protracted hiking cycle with yields to stay higher triggered a congruent sell-off in bonds and equities. Even with few important eco data Read more…
Tuesday, 30 August 2022 Please click here to read the PDF version Markets • Yesterday, last week’s repositioning on US and European interest rate markets simply continued with European markets again underperforming. Chair Powell on Friday was very clear that the Fed will do ‘whatever it takes’ to bring inflation Read more…