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Looming sanctions whack Russian markets


Publicis [PUB.FR] +3% (sales),
Deliveroo [ROO.UK] -1% (trading update).
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Speakers
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BOE Q2 Bank Liabilities and Credit Conditions Surveys noted that lenders expected the availability of secured credit to increase over the next three months to end-May. Total funding volumes were expected to increase in the three months to end-May (Q2).
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German Fin Min Scholz reiterated stance that govt must support businesses and households until the pandemic was over. Country could afford to finance all spending that was needed and stressed that Germany would be better off compared to other countries after the crisis.
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German Leading Economic Institutes confirmed it cut its 2021 GDP growth forecast from 4.7% to 3.7% (as speculated). Raised 2022 GDP growth forecast from 2.7% to 3.9%. Cautioned that further delays in vaccine deliveries and virus mutations were the biggest downside risks. ....

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Yields remain in focus ahead of key rate decisions later this week


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Molecular Partners [MOLN.CH] +5% (trial),
AstraZeneca [AZN.UK] -1% (Ireland suspends use of vaccine)
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Speakers
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BOE Gov Bailey0reiterated stance that current lockdown was having less effect on economy compared to a year ago. Had a more balanced picture on risks and could see a spending of savings and viewed as an upside risk. Very helpful that furlough scheme to extend beyond end of covid restrictions. Would expect a pickup in inflation towards 2% in the coming months; but question was whether such gains are sustainable; not expecting inflation to rise to 4.0-5.0% area. BOE is not out of tools or firepower ....

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