Forex news from the European trading session – 26 August 2020
Headlines:
Markets:
– NZD leads, EUR lags on the day
– European equities mixed; E-minis flat
– US 10-year yields up 3 bps to 0.714%

Comments by ECB executive board member, Isabel Schnabel
The crux of negative rates is that it punishes savers at the expense of borrowers. The Schnabel is trying to make relates more towards inflation and stimulating the economy, and to be honest there hasn’t been stellar progression on both fronts.

Italy says no to another lockdown
This is via comments from Italian health minister, Roberto Speranza, speaking to Bloomberg in an interview. As mentioned before, this is all very much a political exercise and public expectations have very well changed from the beginning of the pandemic.

Latest data from the Mortgage Bankers Association for the week ending 21 August 2020
–  -3.3%
– Market index 770.6 vs 824.5 prior
– Refinancing index 3,423.0 vs 3,809.7 prior