By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
IndebtaIndebta
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
9
Notification Show More
News
My five reasons to buy US equities again
43 minutes ago
News
The Israel-Iran conflict is a war of egos
2 hours ago
News
Italy to slash VAT on art to compete with EU rivals
3 hours ago
News
Trump SEC chair scraps proposed market rules as he charts new path
4 hours ago
News
The markets are silent — that is worrying
5 hours ago
News
Apollo to finance UK Hinkley Point nuclear plant with £4.5bn loan
6 hours ago
News
China’s bet on Iranian oil and Middle East influence turns sour
7 hours ago
News
Inditex chief says conditions for Russia return ‘certainly not’ in place
8 hours ago
News
Israel-Iran latest: Israeli air force attacks targets in Tehran
9 hours ago
Aa
IndebtaIndebta
Aa
  • Banking
  • Credit Cards
  • Loans
  • Dept Management
  • Mortgage
  • Markets
  • Investing
  • Small Business
  • Videos
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
Follow US
Indebta > News > European markets slip as jitters over interest rate rises resurface
News

European markets slip as jitters over interest rate rises resurface

News Room
Last updated: 2023/06/08 at 4:27 AM
By News Room
Share
3 Min Read
SHARE

European markets traded cautiously at the open on Thursday as Canada’s surprise interest rate rise stoked fears the world’s central banks will push global rates higher for longer than expected.

Europe’s region-wide Stoxx 600 fell 0.1 per cent, following Wall Street lower overnight, as traders were unsettled by the Bank of Canada’s decision on Wednesday to raise its key rate to combat sticky inflation. The bank had paused its rate rising cycle earlier this year and indicated rates were approaching their peak.

France’s Cac 40 lost 0.1 per cent and Germany’s Dax gave up 0.2 per cent.

“Maybe this Bank of Canada move has introduced some sensitivity into the investor mindset . . . if that’s the case, the tape could get bouncy over the next two days,” said Mike Zigmont, head of research and trading at Harvest Volatility.

The surprise rate increase followed a similar move by the Bank of Australia earlier this week, with the trend prompting investors to reassess the chances of further tightening by the US Federal Reserve, due to announce its policy decision next Wednesday. 

The yield on the policy-sensitive two-year note rose 0.04 percentage points to 4.59 per cent, and the yield on 10-year Treasuries increased 0.03 percentage points to 3.81 per cent.

In Britain, the yield on the two-year gilt rose 0.02 percentage points to 4.58 per cent, approaching the peak seen in the aftermath of September’s “mini” Budget. Yields rise when prices fall.

Contracts tracking Wall Street’s benchmark S&P 500 fell 0.1 per cent, while those tracking the tech-heavy Nasdaq 100 were 0.4 per cent lower ahead of the New York open.

Meanwhile, investors expect that official growth figures for the eurozone, released later in the day, will be downgraded to show output slightly contracted for the past two quarters.

The revised reading could weigh on the European Central Bank policymakers, also due to meet next week, who have previously signalled that the economy’s resilience would give them room to raise the deposit rate above its current 3.25 per cent.

Asian equities ticked up, with Hong Kong’s Hang Seng index adding 0.1 per cent and China’s CSI 300 gaining 0.8 per cent. Japan’s Topix bucked the upward trend, falling 0.7 per cent.

Read the full article here

News Room June 8, 2023 June 8, 2023
Share this Article
Facebook Twitter Copy Link Print
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Finance Weekly Newsletter

Join now for the latest news, tips, and analysis about personal finance, credit cards, dept management, and many more from our experts.
Join Now
My five reasons to buy US equities again

Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects…

The Israel-Iran conflict is a war of egos

Unlock the White House Watch newsletter for freeYour guide to what Trump’s…

Italy to slash VAT on art to compete with EU rivals

Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects…

Trump SEC chair scraps proposed market rules as he charts new path

Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects…

The markets are silent — that is worrying

Stay informed with free updatesSimply sign up to the Global Economy myFT…

- Advertisement -
Ad imageAd image

You Might Also Like

News

My five reasons to buy US equities again

By News Room
News

The Israel-Iran conflict is a war of egos

By News Room
News

Italy to slash VAT on art to compete with EU rivals

By News Room
News

Trump SEC chair scraps proposed market rules as he charts new path

By News Room
News

The markets are silent — that is worrying

By News Room
News

Apollo to finance UK Hinkley Point nuclear plant with £4.5bn loan

By News Room
News

China’s bet on Iranian oil and Middle East influence turns sour

By News Room
News

Inditex chief says conditions for Russia return ‘certainly not’ in place

By News Room
Facebook Twitter Pinterest Youtube Instagram
Company
  • Privacy Policy
  • Terms & Conditions
  • Press Release
  • Contact
  • Advertisement
More Info
  • Newsletter
  • Market Data
  • Credit Cards
  • Videos

Sign Up For Free

Subscribe to our newsletter and don't miss out on our programs, webinars and trainings.

I have read and agree to the terms & conditions
Join Community

2023 © Indepta.com. All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?