ROME (ITALPRESS) – Market rates have been falling since October 2023, anticipating ECB decisions. In the most recent weeks this downward trend has continued, in anticipation of the decisions the central bank would make on Sept. 12. This is the finding of the Abi Report.In the first 11 days of September, the 3-month Euribor rate averaged 3.46 percent (3.55 percent was the average in August), down 54 basis points from the high recorded in October 2023; the 6-month BOT rate averaged 3.23 percent (3.27 percent in August), down 82 basis points from the high recorded in October 2023; the 10-year IRS rate (widely used in mortgages) averaged 2.45% (2.50% in August) down 107 basis points from the high recorded in October 2023; the rate on BTPs averaged 3.57% (3.63% in August) down 141 basis points from the high recorded in October 2023.In August 2024, the average rate on new business loan transactions decreased to 5.07% from 5.27% in July 2024 and 5.45% in December 2023; the average rate on new home purchase transactions stood at 3.44%, stable compared to July 2024 and down from 4.42% in December 2023; the average rate on total loans (thus underwritten over the years) decreased to 4.71% from 4.74% in the previous month.The rate charged on new fixed-term deposits (i.e., certificates of deposit and time deposits) in August 2024 was 3.47%. In July 2024, this rate was higher in Italy than the average rate in the euro area (Italy 3.47 percent; euro area 3.31 percent). Compared to June 2022, (the last month before ECB rate hikes) when the rate was 0.29%, the increase was 318 basis points.The yield on new issues of fixed-rate bank bonds in August 2024 was 3.20%, an increase of 189 basis points from June 2022 when it was 1.31%.As of August 2024, the average rate on total deposits (certificates of deposit, savings deposits, and current accounts), was 1.00% (1.01% in the previous month; 0.32% in June 2022).The rate on current account deposits alone was 0.53% (0.53% in the previous month; 0.02% in June 2022), keeping in mind that the current account does not have the investment function and allows a multitude of services to be used.
– Photo Agency Photogram –
(ITALPRESS).
