German bunds slide in muted trading; worries over trump’s trade war continue
Source: FxWire Pro - Commentary / 23 Mar 2018 06:13:14 Eastern Standard Time
The German bunds remained narrowly mixed Friday as investors remained sidelined in any major trading activity amid lack of economic data that carried major significance. Also, United States President Donald Trump-initiated trade war worries weighed on investors’ sentiments, dragging them towards safe-haven assets.
The German 10-year bond yields, which move inversely to its price, fell 1 basis point to 0.52 percent, the yield on 30-year note slipped nearly 1-1/2 basis points to 1.15 percent and the yield on short-term 2-year too traded tad lower at -0.58 percent by 09:55GMT.
Growing fears of a global trade war shook stock markets this morning after Beijing threatened to impose retaliatory tariffs on $3 billion worth of US goods.
Following swiftly after yesterday’s announcement by President Donald Trump of potential further tariffs on USD60 billion worth of Chinese imports, China said the tariffs it is considering are in response to Washington’s position on steel and aluminum, announced two weeks ago, and which are due to take effect today, The Times reported.
Meanwhile, the German DAX slumped 2.16 percent to 11,842.29 by 09:55GMT, while at 09:00GMT, the FxWirePro's Hourly Euro Strength Index remained neutral at -0.95 (higher than +75 represents bullish trend). For more details, visit http://www.fxwirepro.com/currencyindex
Lastly, FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest© FxWire Pro 2018. All rights reserved. The FxWire Pro content received through this service is the intellectual property of FxWire Pro or its third party suppliers. Republication or redistribution of content provided by FxWire Pro is expressly prohibited without the prior written consent of FxWire Pro, except for personal and non-commercial use. Neither FxWire Pro nor its third party suppliers shall be liable for any errors, omissions or delays in content, or for any actions taken in reliance thereon.