2023-04-21 16:15:10
(Photo: The Canadian Press)
MARKET REVIEWS. Global markets were down on Friday morning, following the lead of Wall Street which lost ground on Thursday in response to indications of a slowing U.S. economy.
Stock market indices at 8:30 a.m.
London, Frankfurt et Paris lost 0.1% to 0.3% at the start of the session in Europe.
In New York, before the markets open, the average Dow Jones of industrial stocks and the broader index S&P 500 were stable.
In Asia, the Nikkei 225 lost 0.3% in Tokyo. The scholarship of Shanghai has melted by 2% and the Hang Seng 1.6% in Hong Kong. Sydney slipped 0.4% and Seoul of 0.7%.
On the New York Commodity Exchange, the price of oil added 6 cents to US$77.43 a barrel.
The context
Economic growth in the private sector in the euro zone accelerated in April and the PMI index reached its highest level in eleven months, with the dynamism of services offsetting a decline in the manufacturing sector, according to the Flash PMI index published on Friday. by S&P Global.
The data “overall show a very positive picture of a firming economic recovery,” observes Cyrus de la Rubia, economist at Hamburg Commercial Bank.
“The strength of services activity is at odds with persistently high inflation and depressed real incomes,” said Capital Economics expert Rory Fennessy, however, who expects “weaker prospects” for the second half of the year. the year.
These figures left the bond market unmoved, where investors’ expectations on the evolution of monetary policies and economic conditions are reflected.
The rate of German 10-year debt was worth 3.52%, against 3.53% Thursday at the close.
“Input prices in the services sector have risen sharply, which should encourage the European Central Bank (ECB) to tighten its policy further at its next meeting, Philip Lane (the institution’s chief economist, editor’s note) having already confirmed a rate hike in May,” recalls Christophe Boucher, Chief Investment Officer of ABN AMRO IS.
Investors have yet to take notice of the April PMI indices in the United States.
The latest US macroeconomic statistics released on Thursday were all worse than expected. An economic slowdown that could worsen if the US central bank continues to raise interest rates.
The chairman of the regional branch of the Federal Reserve in Philadelphia, Patrick Harker, estimated Thursday that “additional tightening may be necessary” and wants to keep rates high thereafter.
Among today’s results
As for corporate results, their “mixed nature”, according to Sebastian Paris Horvitz, director of research at Banque Postale AM, “did not really give impetus to the market”.
The global optical giant EssilorLuxottica (EL) jumped 6.45% in Paris, the day after the publication of a turnover up sharply in the first quarter and higher than analysts’ forecasts.
The Italian luxury house Salvatore Ferragamo (SFER) saw its turnover fall by 4% in the first quarter, due to a sharp drop in sales in the United States. Its action fell by 6.21% in Milan.
The Swiss cement manufacturer Holcim (HOLN) (-0.68% in Zurich) could make more than “30 acquisitions” in 2023, said his boss on Friday, who raised his annual growth forecasts after a good start in the first quarter.
On the side of currencies and bitcoin
Oil prices fluctuated little. Around 11:05 GMT, a barrel of Brent from the North Sea for delivery in June lost 0.11%, to 81.01 dollars.
Its American equivalent, a barrel of West Texas Intermediate (WTI), for delivery in June, which is the first day of use as a benchmark contract, was worth 77.30 dollars (-0.08%).
The dollar and the yen were strengthening against most other currencies. Around 11 a.m. GMT, the euro lost 0.06% against the dollar at 1.0963 dollars for one euro. The yen gained 0.40% against the euro and 0.33% against the dollar. It was trading at the rate of 133.80 yen to the dollar, supported by more persistent than expected inflation in Japan.
Bitcoin dropped 0.71% to $28,000.
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