2023-08-04 01:32:11
Global markets were up Thursday morning. (Photo: The Canadian Press)
MARKET REVIEW. The European and Japanese stock market indices continued their decline on Thursday, falling slightly from the high levels at which they were evolving, after indicators perceived as ominous and mixed corporate results.
Stock indices at 8:30 a.m.
The futures contracts Dow Jones fell by -314.72 points (-1.53%) to 20,218.21 points.
The futures contracts S&P 500 lost +63.34 points (-1.38%) to 4,513.39 points.
The futures contracts Nasdaq fell -95.75 points (-0.6188%) to 15,377.25 points.
In London, the FTSE 100 lost -66.65 points (-0.88%) to 7,494.61 points.
In Paris, the CAC 40 fell -58.00 points (-0.79%) to 7,254.84 points.
In Frankfurt, the DAX fell -155.69 points (-0.97%) to 15,864.33 points.
In Asia, the Nikkei Tokyo fell -548.41 points (-1.68%) to 32,159.28 points.
For his part, the Hang Seng Hong Kong ended down -96.51 points (-0.49%) at 19,420.87 points.
On the side of oilthe price of a barrel of American WTI collected +0.08$ US (+0.1006%) to 79.57$ US.
The barrel of North Sea Brent gained +$0.12 (+0.14%) to $83.32.
The context
The London Stock Exchange was down 0.83% around 8:10 a.m. and did not change direction after the Bank of England (BoE) announced to raise its key rates by 0.25 percentage points to fight against inflation, which it expects to be more persistent.
“Certain crucial indicators, including wage increases, suggest that more persistent inflationary pressures are materializing,” the central bank said in the minutes of its meeting.
In response, the pound fell sharply against most other currencies, against some expectations of a 0.5 percentage point hike in the BoE rate.
Against the US dollar, it was down 0.53% at $1.2644 to the pound around 8:10 a.m.
Elsewhere in Europe, Paris fell by 0.75%, Frankfurt by 0.89% and Milan by 0.84%.
In Asia, Shanghai gained 0.58%.
The decision of the financial rating agency Fitch to downgrade the United States by one notch on Tuesday from AAA, the highest, to AA+ was thus the pretext for a pause in the markets, which rose since the beginning of the year.
For Lisa Hornby, bond expert at Schroders, “the lowering of the note by Fitch will be digested much more easily by the markets at risk than the decision of S&P”, which had also withdrawn its triple A in the United States “there 12 years, which coincided with the sovereign debt crisis in Europe”, and which was more worrying in the long term.
Currently, “investors are debating whether to expect a further rise in risk investing over the next few weeks or prepare for a potentially large drop if the data is disappointing,” said SPI analyst Stephen Innes. Asset Management.
On Friday, investors will focus on official US employment figures for July, data considered crucial by the US central bank, the Fed.
Loss of results
Investors digested a salvo of results, some of which were well received, including those of Société Générale (+2.90% in Paris), AB InBev (+3.84% in Brussels), ING (+0.60% in Amsterdam ), SES (+14.56% in Paris), Rolls-Royce (+3.15% in London) and Adecco (+6.66% in Zurich).
Other companies, on the other hand, were sanctioned: in Frankfurt, BMW lost 2.13%, Veolia -2.77% in Paris, Solvay -2.97% in Brussels, Oerlikon -7.36% in Zurich and Telecom Italia – 3.06% in Milan.
Infineon sanctioned
The semiconductor manufacturer fell 10.32% in Frankfurt after publishing a 61% increase in net profit in the last quarter. However, Oddo BHF analysts are disappointed that the company did not raise its outlook given the performance of other companies in the sector.
Lufthansa kicked out of first class
The leading European air transport group Lufthansa more than tripled its net profit in the second quarter year on year and expects to post one of the best annual results in its history. But analysts are worried about inflation in its costs and its performance compared to other companies in the sector. The action fell 5.30% in Frankfurt.
Adidas hands over the cleats
The German sports equipment supplier Adidas (ADDYY, +1.39% in Frankfurt) posted a net profit of 84 million euros in the second quarter, after two consecutive quarterly losses, coming out of the water after starting to sell off its stock of sneakers produced with Kanye West.
On the currency side
The euro was down 0.04% against the US dollar (US$) at US$1.0934 per euro.
1691115448
#Stock #market #moving #markets #opening #Thursday