Investors continued to run away from bonds and recover commodities in the hope that the launch of vaccines will revive the global economy, which will cause European stocks to decline on Monday.
The performance of the TMUBMUSD10Y of the Treasury at 10 years of reference,
it rose to 1.37%, after rising 14.5 basis points last week. The performance of British gold gold TMBMKGB-10Y at 10 years,
and the German bund TMBMKDE-10Y,
also increased. Yields move in the opposite direction to prices.
According to published reports, British Prime Minister Boris Johnson will present on Monday the reopening plan for England, which will start with schools and will be extended to golf courses and tennis courts by the end of March. The country’s progress plan will be extended over the summer.
Globally, new coronavirus cases have fallen after the peak in January.
Copper HG00,
and palladium PA00,
led a breakthrough in much of the metals complex on Monday.
“One of the (many) most current stories in the financial markets right now is rising commodity prices, where copper, tin, nickel, lead and zinc are consolidating in the wake of hopes of global recovery and supply challenges. This comes at a time when investors believe the Fed really wants to let inflation go hot and bonds are certainly not an asset class to keep in the current environment. The key challenge for financial markets is whether bond sales can be orderly enough to allow reflective asset classes, including equities, to thrive, ”ING strategists said.
After hitting a 0.2% rise last week, the Stoxx Europe 600 SXXP,
fell 1.1%. US stock futures YM00,
ES00,
NQ00,
they were also lower.
Miners including the BHP BHP group,
and Rio Tinto RIO,
advanced and banks including HSBC Holdings HSBA,
they were helped by the increase in the yield curve, which suggests higher margins.
Works in the technology sector such as the microchip equipment manufacturer ASML Holding ASML,
he fell. Also inferior were companies that prospered during the pandemic, such as the fast food delivery company Delivery Hero DHER,
food processor HelloFresh HFG,
and supermarket distribution company Ocado OCDO,