KBC Market Research Desk
KBC Bank
After a temporary drop yesterday, European shares rebounded today supported by a weaker euro. The German Dax outperforms, trading almost 2% higher. In the US, Equities opened slightly higher but struggle to safeguard their gains.
ECB’s Nowotny said today he is a bit nervous there might be too much success with QE with market rates going increasingly negative. He downplayed the idea of a currency war, saying the weaker euro is only a side effect of other things.
UK industrial production dropped unexpectedly in January, hit by a reduction in work in information technology and machinery following decent gains in December. Production dropped by 0.1% M/M in January, despite a rebound in gas and oil output.
The Swedish krona rose to a five month high against the euro today, supported by higher than expected Swedish consumer prices in February. The krona dropped roughly 0.5% to EUR/SEK 9.1150 currently.
Both Brent and WTI oil prices extend their correction today after data showed that US crude inventories rose further last week. The WTI oil price is hit the hardest.
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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