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Published on Monday, December 2, 2019

Market Comment | Fresh trade concerns

Summary

Early equity optimism in Europe driven by the positive manufacturing data from China was erased amid new trade concerns, political risk in Germany and worse-than-expected US manufacturing data.

Key points

  • Key points:
  • Sovereign bond yields rose sharply led by upbeat PMIs from China.
  • The DXY index was dragged down by US President's pressure on the Fed to weaken the USD and further contraction in the US manufacturing industry.
  • European stocks fell sharply with the utility sector underperforming others.

Geographies

Topics

Authors

Vitor Sun Zou
Cristina Varela BBVA Research - Principal Economist
María Sánchez Carvajal

Documents and files


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Report (PDF)

MC_021219.pdf

English - December 2, 2019

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