KBC Market Research Desk
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European shares hold on to initial gains on hope that a Greek bailout extension is coming closer. US stocks open slightly off record highs ahead of the FOMC Minutes.
The Bank of England (Minutes) said UK inflation may accelerate quickly in 2016 once the impact of plunging oil prices fades as wage and unemployment data showed labour‐cost pressure is starting to build. Together with the Minutes, strong UK labour data were published. EUR/GBP set a new cycle low south of 0.7370.
Ukraine’s army on Wednesday began to withdraw troops from Debaltseve, a strategic railway hub seized by Russian‐backed separatists in recent days.
Producer prices in the US fell more than forecast in January, led by plunging energy costs and signalling inflation remains tame even as the economy is expending. Apart from PPI data, housing starts and building permits were mixed to slightly weaker.
US Industrial production rose 0.2% in January (0.3% expected), held back by a decline in motor vehicle assemblies and weaker demand for construction materials.
This non-exhaustive information is based on short-term forecasts for expected developments on the financial markets. KBC Bank cannot guarantee that these forecasts will materialize and cannot be held liable in any way for direct or consequential loss arising from any use of this document or its content. The document is not intended as personalized investment advice and does not constitute a recommendation to buy, sell or hold investments described herein. Although information has been obtained from and is based upon sources KBC believes to be reliable, KBC does not guarantee the accuracy of this information, which may be incomplete or condensed. All opinions and estimates constitute a KBC judgment as of the data of the report and are subject to change without notice.
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