2023-09-14 13:20:28
Shanghai was falling. London, Tokyo and Paris were making progress. Oil prices were rising. (Photo: The Canadian Press)
MARKET REVIEWS. The European Central Bank will end the suspense on the direction of its monetary policy on Thursday, investors having until then shown caution without being able to decide between the different expectations, with markets up modestly.
Stock market indices at 7:45 a.m.
European markets were mixed Thursday morning, following gains in Asia and after the release of data showing a modest rise in inflation in the United States in August.
Investors now seem less fearful of a possible increase in the key rate from the American Federal Reserve.
Scholarships German et française lost 0.2% at the start of the session in Europe, while their British counterpart added 0.4%.
In New York, before the markets opened, the average Dow Jones industrial stocks rose by 0.1% and the broader index S&P 500 of 0.2%.
In Asia, the Nikkei 225 jumped 1.4% in Tokyo. The scholarship of Shanghai climbed 0.1% and the Hang Seng by 0.2% in Hong Kong. Sydney took 0.6% and Seoul 1,5%.
On the New York Commodity Exchange, the price of oil added 67 US cents to US$89.19 per barrel.
The context
Investors’ eyes are on Frankfurt. The European Central Bank (ECB) has decided on nine successive increases in interest rates since July 2022. But the outcome of its back-to-school meeting looks uncertain, against a backdrop of persistent inflation and slow growth.
If inflation fell from 10% in the fall of 2022 to 5% in August, it is still too far from the institution’s 2% target, an element which encourages the ECB to raise its rates, especially since the decline came mainly from the fall in the price of raw materials.
But, from another point of view, with confidence indicators (PMI) in free fall, credit distribution at half mast and an economy on the verge of recession, or even already falling into it as in Germany, a new rise in rates directors could leave significant consequences.
“The trajectory to follow for the ECB is therefore less clear compared to that anticipated for the American central bank,” writes Christophe Boucher, investment director at ABN Amro IS.
On Wednesday, US inflation did not change investors’ views on the decision following the Fed’s meeting next week, with an expected pause.
Arm is about to go on stage
The British electronic chip designer Arm is aiming for a valuation close to US$52 billion ($US) for its debut on the New York Stock Exchange on Thursday, the biggest IPO in almost two years, according to the price set for its shares on Wednesday.
Arm, whose semiconductor models are integrated into 99% of the world’s smartphones, stopped the unit price of the stock listed on the Nasdaq at US$51 from Thursday.
THG unscrews in London
The online nutrition and cosmetic products sales group THG plunged more than 16% on the London Stock Exchange after a widening net half-year loss. It has lost more than 90% of its value since its IPO, although it has increased by 65% since the start of the year.
Oil is moving forward
Oil prices continued to rise, close to their highest in ten months, despite the swelling of crude stocks in the United States, with the market focusing on forecasts from both the IEA and OPEC of a large deficit. of global supply from the end of the year.
The barrel of North Sea Brentfor delivery in November, took 1.14% to US$92.93.
Its American equivalent, the barrel of West Texas Intermediate (WTI)for delivery in October, gained 1.19% to US$89.57.
L’euro stabilized (+0.07%) against the greenback at US$1.0737.
On the bond market, the borrowing rates of Western states were stable compared to the day before. The 10-year maturity in the United States moved at 4.25%.
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