It has been a volatile week in financial markets again. Bunds at 10 years almost reached 2.95% during the week, but have decreased and are negotiated around 2.85%. The US Treasury bonds have also been negotiating in a wide range between 4.15% and 4.35% and are currently in 4.26%, the Danske Bank’s currency analysts report, Kristofer Kjær Lomholt and Filip Andersson.
Then France will be reviewed by Fitch
“If we look at inflation expectations measured by 5 -year -old Forward inflation, inflation in the EUR has increased while it has decreased in the US, which also corresponds to the movement in the differentials of interest, where the US has surpassed the EGBs of the Eurozone.”
“Tonight, we have France in review by Fitch. France has a negative perspective on the part of Fitch and there is a significant risk of a reduction. Recently, S & P placed France in a negative perspective. Fitch has France in AA- and a reduction to A+ could lead to a mass sale, since less investors will be able to keep France positive. We could see an improvement as S&P did two weeks ago. “
“We also have Spain in review by S&P already Greece by Moody’s. Moody’s has Greece in a positive perspective and we expect an improvement given the significant economic restructuring that Greece has been doing for more than a decade. Therefore, the periphery is in a virtuous circle while France is in a vicious circle.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
