Joint
Today, the American stock market closed in positive territory, while European stock markets closed in negative territory. This came despite positive corporate data in Germany and market optimism following calls between the United States and China.
In the US, the S&P 500 and Nasdaq are poised to set new closing highs, as a phone call between US and Chinese trade officials fueled market optimism. Senior trade officials from both countries reaffirmed their commitment to a trade agreement that had appeared on shaky ground due to worsening bilateral relations. Meanwhile, the Conference Board survey showed that US consumer confidence unexpectedly fell in August, hitting a six-year low.
Fixed rent
The debt market in emerging markets closed in mixed territory. In Mexico, the 10-year bond yield gained 16.4 bp during the session to 5.994%. This followed the announcement of the acceleration in the current account for the second quarter of this year, equivalent to $5 million in US dollars. In Brazil, the 10-year bond yield fell 3,0 bp to 6.810%. Despite the current account being higher than market and investor forecasts, which stood at $1,63 billion, it did, however, decline slightly compared to June's figure. In Colombia, the yield curve saw a mixed session, with TESTF 24 yields rising 8,5 bp to 3.730%, while the 10-year bond yield fell 1,0 bp to 5.220%.
Variable income
The index
COLCAP closed midweek at 1.230.56 points, up 2.11%, driven by the country's new normal announced yesterday, where the national economy will begin to reopen at a faster pace starting September 700. Thus, the construction sector, one of the most backward, generated significant upward momentum due to the possibility of resuming projects halted by quarantines. Added to this was the Ministry of Finance's announcement today that it would allocate $2.255 billion to the development of tertiary roads. The best stock of the day was Cemex Latam Holding, which posted a second day of gains, reaching $6.87, up 12%. Today, Standard & Poor's modified its ratings and announced that it expects its recovery within XNUMX months.
.Money Exchange
The Colombian peso (COP) closed the session opposite the global market, depreciating 0.27% to COP$3.867,9, despite the appreciation in oil prices, where the WTI benchmark crossed US$43 a barrel. On the other hand, the resurgence of the virus in countries that were showing economic recovery is discouraging investment in countries like Colombia, which are still in the midst of the crisis. Additionally, the local market is speculating that the Central Bank of the Republic will lower interest rates at the end of the week, which could affect foreign investment due to lower yields and increase pressure on the exchange rate.
US stocks closed higher after midterm election results came in line with market expectations. Democrats will retain control of the US House of Representatives, giving them political control over President Trump, while Republicans have gained control of the Senate. With this reduced uncertainty, markets reacted positively.
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