Global equities and the euro lost ground and “core” government bonds pushed higher as worries about global growth came to the fore ahead of the release today of Chinese second-quarter gross domestic product figures.
Interest rate cuts in Brazil and South Korea – plus tweaks by the Bank of Japan to its asset purchase programme – highlighted the fragile state of the world economy.
These moves stood in contrast to the US, where the minutes of last month’s Federal Open Market Committee meeting, released late on Wednesday, suggested that further quantitative easing was not yet the consensus view.
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