Markets
Inflation and PMIs: What moves the financial markets this week?
This week, financial markets will focus on upcoming flash manufacturing and services PMIs, as well as inflation data from major economies. These figures are crucial for investors assessing the global economic outlook amid escalating trade tensions.
Markets
Europe’s markets lose steam amid EU deadlock on Ukraine, trade tension
The rally in European stock markets took a breather as EU leaders struggled to secure a €5 billion funding package for Ukraine. Investor sentiment was further dampened by the ECB’s cautious outlook on the economy and inflation, triggering selloffs, particularly in the defence and automotive sectors.
Economy
Lagarde: Trade tariffs could push eurozone inflation up by 0.5%
A trade war could push up eurozone inflation by half a percentage point alone with detrimental effects on growth, ECB’s Lagarde warns. The ECB president said rising trade tensions and a weaker euro could complicate monetary policy.
Economy
Germany’s economic sentiment hits 2-year high, EU exports to US soar
Germany’s economic sentiment hit a 2-year high, but the eurozone’s trade surplus fell sharply. EU exports to the US surged as firms frontloaded shipments ahead of potential Trump tariffs, while the trade deficit with China widened sharply.
Economy
US stocks rally as inflation cools and euro holds four-month highs
US stocks rallied as February’s inflation data came in lower than expected, boosting hopes for Federal Reserve rate cuts later this year. The S&P 500 gained 0.7%, while the Nasdaq 100 jumped 1.5%. Meanwhile, the euro held at a four-month high.
Economy
Will the European Central Bank cut interest rates further this week?
The European Central Bank (ECB) is set to reduce its interest rate further this week due to economic concerns. Meanwhile, Donald Trump has vowed to impose 25% tariffs on the EU, sparking concerns of a further growth slowdown.