Many of the ingredients are there for sentiment to recover but only time will tell if this lasts, one analyst says
London — An uneasy calm descended on world markets on Wednesday, with efforts by regulators and financial executives to ease contagion fears sparked by the collapse of Silicon Valley Bank shoring up sentiment.
A reminder that major central banks remain in rate-hiking mode pushed government bond yields higher, while focus turned to British finance minister Jeremy Hunt’s budget later on. Asian equities rose, tracking Tuesday's relief rally on Wall Street after US inflation data delivered no nasty surprises, reinforcing hopes the Federal Reserve will go for a smaller rate hike when it meets next week.
In Europe, where markets had also rapidly dialled back ECB rate-hike bets at the start of the week, traders were betting again on a big increase in eurozone borrowing costs on Thursday. “Core inflation,” he added, “is still at very, very elevated levels. So we will be very surprised to not see 50 basis points delivered by the ECB.”
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
MARKET WRAP: JSE pares losses as global markets assess fallout from SVB’s collapseGains in local precious metals and resources stocks helped lift the JSE off its intraday worst levels
Read more »
Asian shares slide as SVB contagion fear spooks marketsTokyo banks index on course for steepest drop in nearly six months
Read more »
Asian markets sink as SVB contagion fears hit banking sectorAsian markets sank Tuesday, with banks bearing the brunt of the selling on fears of contagion in the sector after the collapse of two regional US lenders.
Read more »
Biden pledges to do ‘whatever is needed’ as banks hit by SVB falloutFirst Republic Bank tumbles more than 76% as US president tries to reassure markets and depositors
Read more »
Mumbai’s SVC Bank has ‘no relation to SVB’ in USSilicon Valley Bank in California collapsed, causing confusion and concern due to the similarity in names
Read more »
HSBC rescues British arm of stricken SVBHSBC bought the UK arm of stricken Silicon Valley Bank for a symbolic £1.
Read more »