WORLD ECONOMIC & MARKET DEVELOPMENTS
GLOBAL MARKETS: The majority of Asian stock markets kicked off the week on a positive footing after downbeat US data released on Friday stirred speculation that the Fed may delay its rate- hiking cycle, expected to incept later in the year. Against this backdrop, US Treasury yields fell and the USD remained under pressure in European trade on Monday.
GREECE: In a brief statement issued after her unscheduled meeting with the Greek Minister of Finance in Washington y-day, IMF Managing Director Christine Lagarde confirmed that official discussions between Greece’s negotiating team and the representatives of the four Institutions are expected to resume today (Monday, April 6) and the Greek government will pay a c. €442bn interest payment to the Fund due on Thursday.
SOUTH EASTERN EUROPE
BULGARIA: The domestic equity market extended its recent rally last week, on improving sentiment towards the country’s assets amid ongoing government discussions, namely over changes on the pensions reform and land ownership restrictions.
ROMANIA: The EUR/RON closed lower on a weekly basis to stand near 4.4150 on Friday’s settlement, remaining within distance from the previous week’s two-month low of 4.3980, with the MPC’s decision on Tuesday having a limited impact as it had been broadly priced in.
SERBIA: The EUR/RSD remained trapped within a tight range of 119.60/80-120.15/35 last week as renewed Central Bank interventions at levels just below 120.00 capped any further upside RSD pressures.
CESEE MARKETS: Emerging stock markets closed broadly higher on Friday in the wake of the disappointing US NFP data. In view of improving risk sentiment, CESEE currencies and government bonds broadly firmed on Friday.
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