Daily Report

7 de Outubro de 2025
Financial Markets | daily report 07.10.2025

Following the resignation of French premier Lecornou, French assets sold off with stocks paring losses and the yield on the 10-year sovereign benchmark rising to push the country's risk premium to 85bp, above Italy's.Contagion to the rest of the euro area was limited, with peripheral risk premia stable and stocks paring mild losses. The EURUSD held at 1.17.

Across the Atlantic, US stocks advanced and the S&P500 hit a fresh record-high on the back of investment and partnership announcements from AI developers. Meanwhile, US Treasury yields edged higher amid little to no progress in the negotiations to end the government shutdown.

Elsewhere, Japanese stocks rallied nearly 5% after Sanae Takaichi won the ruling party's leadership race. Takaichi is seen asfavoring stimulus to support growth. The yen weakened to 150 against the dollar, and, against the euro, to the lowest since the 1990s, to 176.