Thursday's session carried a broadly constructive tone. Equities rallied across most advanced and emerging economies, with the technology sector as a standout performer. In commodity markets, crude oil retreated for a second consecutive session (amid reports that China is asking Iran to rein in Houthi attacks). TTF natural gas also declined.
Sovereign yields fell across the board. The decline was more significant in U.S. Treasuries and UK Gilts, the latter benefiting from the Bank of England's announcement of a slower pace of QT, while the drop in euro area sovereign yields was more modest. In FX markets, the dollar was broadly flat, with the euro edging marginally higher.
Yesterday, the Bank of England left rates unchanged (3.75%) but signaled that a rate hike could come soon (three members already voted for a hike in September, and Governor Bailey said that if the Middle East conflict persists "it is likely that policy may have to tighten"). This morning, the Bank of Japan raised rates by 25bp to 1.25% (as expected).
BANCO BPI, S.A., com sede na Avenida da Boavista, 1117, 4100-129 Porto; Capital Social: € 1 293 063 324,98; matriculada na CRC Porto sob o número de matrícula PTIRNMJ 501 214 534, como o número de identificação fiscal 501 214 534. Intermediário financeiro registado na CMVM com o n° 300 e no Banco de Portugal sob o código n° 10. Agente de Seguros n.º 419527591, registado junto da Autoridade de Supervisão de Seguros e Fundos de Pensões em 21/01/2019, e autorizado a exercer atividade nos Ramos de Seguro Vida e Não Vida.