The European Central Bank kept interest rates unchanged, with President Christine Lagarde saying inflation is in a "good place" and playing down the impact of the euro's recent strength. Lagarde said risks to the inflation outlook are broadly balanced and reiterated that policy decisions will be guided by incoming data, even as officials monitor the currency's path amid heightened uncertainty over growth and trade tensions.

Societe Generale has launched a €1.46 billion buyback program after fourth-quarter profit exceeded expectations, with net income rising 36% to 1.42 billion. This profit beat comes despite underperformance in the bank's equity and fixed-income trading divisions. The strong result helped drive the bank's shares up by about 8% since the beginning of 2026, following a nearly 150% surge last year.

Amazon, Google and Microsoft have seen a combined market value drop of $900 billion after unveiling plans to spend $660 billion on AI this year. The increase in investment has raised concerns among investors who fear that the pace of spending far outstrips current AI revenue potential.

The sharp decline in software stock prices is reverberating through the debt market, with software-company bonds and loans experiencing notable price drops since the start of 2026. The average price of software loans in the Morningstar LSTA index has slipped from 94.71 cents at the end of 2025 to 90.51 cents. The downturn is raising alarms on Wall Street, as software sector weakness could spill over into other credit markets and potentially lead to increased loan defaults and outflows from loan funds.

The resignation of Marco Lavagna, head of Argentina's Indec statistics agency, over a delayed inflation index update has raised concerns about the credibility of Argentine President Javier Milei's economic reforms. The delay, which Argentine Economy Minister Luis Caputo says is necessary until inflation is better controlled, has led to a sell-off in Argentine assets and concerns about potential data manipulation.

Wall Street is undergoing a sweeping market selloff as investors move rapidly away from riskier assets. The S&P 500 fell for a third consecutive day, dropping 1.2%, while nine of 11 industry groups declined. The retreat has been driven by mounting anxieties over high valuations and questions over the sustainability of recent gains. News of significant job cuts and concerns about amounts spent on AI have intensified caution, leading to a pronounced shift toward defensive strategies and havens such as US Treasurys.

The Bank of England kept its benchmark interest rate at 3.75% in a closely split 5-4 vote, signaling that a rate cut could come as soon as March if inflation continues to ease. The central bank cut its growth forecasts, raised its unemployment outlook and said weakening labor market conditions should help bring inflation back toward its 2% target in coming months.

Speculation over UK Prime Minister Keir Starmer's future sparked a sell-off in sterling and long-dated UK government bonds, pushing the gap between two- and 10-year gilt yields to its widest since 2018. Investors dumped long-term debt and UK equities amid fears of political instability and looser fiscal policy, even as short-dated gilt yields fell after the Bank of England's dovish decision to hold rates.

South Korea sold $3 billion of dollar-denominated bonds to shore up foreign exchange reserves as it prepares for large overseas investments tied to a US trade deal and counters a weakening won. Proceeds will go to the Foreign Exchange Stabilization Fund, which has been drawn down as authorities intervene to support the currency.

The European Central Bank is preparing to widen access to its euro liquidity lines, aiming to make borrowing cheaper and easier for more foreign central banks to strengthen the euro's global role, sources say. The plan, expected to be detailed next week, would reportedly include lower interest rates on repo lines and looser borrowing caps, while allowing the ECB to retain discretion over eligibility.

AFME's flagship Spanish Capital Markets Conference returns on 22 April, bringing together senior industry leaders, policymakers, and regulators to discuss the key developments shaping Spain's financial markets.

This year's agenda covers fixed income (with a focus on securitisation), equities, ESG, and digital transformation. Delegates will hear expert insights on regulatory change, market innovation, and the opportunities influencing Spain's evolving financial ecosystem.

The conference provides a valuable platform for open dialogue on how strong and well-functioning capital markets can support Spain's long-term economic growth.