Daily Economics Dashboard - 3 February 2021

An overview of key economic and financial metrics.
Written By:
William Matthews, Knight Frank
2 minutes to read

Download an overview of key economic and financial metrics on 3 February 2021 2020.

Equities: Globally, equities are mostly up. In Europe, the STOXX 600 and DAX are both +0.5% higher this morning, while the FTSE 250 and CAC 40 have both added +0.3%. In Asia, the TOPIX (+1.3%), KOSPI (+1.1%), S&P / ASX 200 (+0.9%) and Hang Seng (+0.2%) were all up on close. However, the CSI 300 was the exception, down -0.3% on close. In the US, futures for the S&P 500 and Dow Jones Industrial Average (DJIA) are currently +0.3% and +0.1%.
VIX: Following a -14% decrease over Tuesday, the CBOE market volatility index has declined a further-3.8% this morning to 24.6, albeit remaining above its long term average (LTA) of 19.5. The Euro Stoxx 50 volatility index is also lower, down -5.2% to 22.7, now below its LTA of 23.9.
Bonds: The US 10-year treasury yield and German 10-year bund yield have both softened +2bps this morning to 1.11% and -0.47%, respectively. Meanwhile, the UK 10-year gilt yield, softened +1bp to 0.36%.
Currency: Sterling and the euro are currently at $1.37 and $1.20, respectively. Hedging benefits for US dollar denominated investors into the UK and the eurozone are at 0.57% and 1.36% per annum on a five-year basis.
Baltic Dry: The Baltic Dry decreased for the eighth consecutive session on Tuesday, down -4.4% to 1,380, its lowest level in a month. The index remains -26% lower than the four-month high seen in mid January. Prices have been pushed down by the capesize index, which contracted -9.5% yesterday, to its lowest level since 16th December 2020.
Oil: The West Texas Intermediate (WTI) and Brent Crude have increased +0.5% and +0.7% this morning to $55.02 and $57.88, their highest prices since January and February 2020, respectively.
UK PMIs: The UK services PMI declined to 39.5 in January from 49.4 in December, its sharpest contraction since May 2020, with all parts of the UK being in lockdown from January 6th. However, this is considerably above the record low of 13.4 in April 2020, during the country’s first lockdown. The Manufacturing PMI remains in expansionary territory (figure above 50) at 54.1 in January, albeit down from December’s 57.5 reading.