WORLD ECONOMIC & MARKET DEVELOPMENTS
GLOBAL MARKETS: German Bunds retained a firm tone in European trade on Wednesday amid increased expectations that the ECB will adopt a cautious approach to winding down its asset purchases scheme at the October 26th monetary policy meeting on the back of persistently subdued euro area inflation pressures. The EMU periphery continued to perform well with Italy outperforming on reduced political jitters. Meanwhile, UK Gilts were slightly weaker in European trade in reaction to today’s UK employment data which showed a slightly higher than expected increase in wage growth in the three months to August. Looking at today’s calendar, the Fed will release its Beige Book while the ECB will be holding a conference “Structural reforms in the euro area” at which President Mario Draghi will give the opening speech.
GREECE: According to the scheduled revised ELSTAT data published yesterday (2nd GDP estimate for 2017), the 2016 real GDP growth rate was at -0.2% from 0.0% in the 1st estimate (March 2017) mainly as a result of the incorporation of the Household Budget Survey results for the said year.
SOUTH EASTERN EUROPE
CYPRUS: The positive momentum in the tourism sector continued into 9M-2017.
CESEE MARKETS: Emerging market assets consolidated recent gains earlier on Wednesday, as their rally ran out of steam on the back of a firmer US dollar and higher short-dated Treasury yields.
Viewers can log herebelow and read the full report: Daily Overview October 18 2017