Global Market Summary
With the U.S. Federal Reserve’s (Fed) May rate decision behind us, focus shifted over to this week’s incoming economic data and the implications for monetary policy. Data in the U.S. centered around employment, which remains stable but with signs of cooling. Initial jobless claims were little changed, while unemployment ticked higher. In terms of wages, average hourly earnings decelerated in April. U.S. Treasuries stabilized and retraced following last week’s pre-FOMC selloff. In Europe, the final round of Euro-area PMIs generally came in better than initial estimates but remain mixed for April. Spreads tightened across major credit sectors, and total returns were positive. The U.S. dollar retreated against the euro and the average spot currency performance in emerging markets was positive for the week.
