January 27, 2025
United States:
US Yields Fall to Lowest This Year as Tech Risk Fuels Haven Bid
US Treasuries rallied on Monday as investors flocked to safe assets after technology firms drove a slump in equity markets.
The yield on 10-year US bonds fell as much as 12 basis points — the most in almost two weeks — to 4.50%, while the policy-sensitive two-year rate dropped 10 basis points to 4.17%, the lowest in over a month.
Europe:
Euro Zone’s Lackluster Growth to Keep ECB on Rate-Cut Path
The euro-area economy’s sub-par performance is convincing the European Central Bank that it can further loosen the shackles on growth by lowering interest rates for a fourth straight meeting this week.
Data due Thursday, hours before policymakers in Frankfurt announce their decision on borrowing costs, will probably show gross domestic product rose by just 0.1% in the fourth quarter, down from 0.4% in the third, according to a Bloomberg poll.
Asia:
China’s Economy Stumbles in Sign Rebound Hinges on More Stimulus
China’s economic activity unexpectedly faltered to start the year, breaking the momentum of a recovery sparked by stimulus measures and underlining the need for Beijing to do more to prevent another slowdown.
Factory activity shrank in January after three months of expansion, with the manufacturing purchasing managers’ index falling to 49.1, the lowest since August.
Disclaimer:
Analyst Certification – The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view (s) expressed by that research analyst in this research report.
Company Disclosure – The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.
