Renewed optimism

ising equities, slightly easing bond yields, falling USD: optimism prevails despite the sharp slowdown in the Chinese economy highlighted yesterday by the Q3 national accounts. Concerns about rising inflation pushed the US 10-year yield up to 1.62%, but it then eased back to 1.57%. The EUR/USD exchange rate returned to its highest level since late September, around 1.1650.

US industrial production contracted by 1.3% m/m in September, mainly due to a sharp decline in the automotive sector (-7.2%), as in most countries.

Energyscan economics news

According to the Chinese Ministry of Industry, the shortage of semiconductors should ease, but it should also limit domestic car production. The effects of Covid, on the other hand, seem to be dissipating well in the US, as evidenced by the sharp rise in the NAHB housing market index, while loan rates are rising.

The economic calendar is light today. Construction data is expected to fall in the US. But the markets should continue to focus on corporate earnings and central bankers’ statements, especially in the UK where a rate hike is expected as early as next month.

Share this news :

You might also read :

ES-power
June 18, 2021

EUAs traded rangebound after an early weakness

The European power spot prices remained overall stable yesterday as the expectations of increased French nuclear generation offset the forecasts of slightly weaker wind and…
ES-oil
April 21, 2021

Indian risk factor

Crude oil prices pulled back to 66.3 $/b as the exponential growth of the pandemic in India continued to lower demand expectations for the third-biggest…
Join EnergyScan

Get more analysis and data with our Premium subscription

Ask for a free trial here

Don’t have an account yet? 

[booked-calendar]