Daily Report

13 de Janeiro de 2025
Financial Markets | daily report 13.01.2025
  • Unexpectedly strong US employment data released on Friday, posting 256,000 new jobs (165,000 expected) and a decrease in the unemployment rate (from 4.2% to 4.1%) cooled market expectations of interest rate cuts and drove treasury yields higher, especially for the policy-sensitive 2-Year bond.
  • In this context, Euro area sovereign yields also edged higher. In equity markets, US stocks fell by more than 1%, and European stocks also experienced some losses, though milder in magnitude. The dollar rallied, leaving its cross with the euro at around 1.02 during the session.
  • In commodities, Brent prices rose to around $80/barrel, as US demand is expected to stay strong and global supply to be hit by new rounds of sanctions targeting Russian oil. This week, investors wait for the US CPI release on Wednesday, potentially affecting expectations about future Fed decisions.