Stock market: what moves on the markets before the opening Thursday

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The European stock markets continued their rise on Thursday, definitively leaving fears around the Delta variant aside to focus on the monetary policy meeting of the European Central Bank (ECB), which should mark a turning point in the institution’s communication.

The clues

In the US, around 7.15am, Wall Street was heading for a higher opening. Futures contracts Dow Jones gained 83 points, or 0.24%, to 34,772 points. Those of S&P 500 increased by 9 points, or 0.21%, to 4,359 points while those of the Nasdaq took 27 points, or 0.18%, to 14,854 points.

In Europe, markets were up at mid-session. In London, the FTSE 100 grappled 0.12%. In Paris, the CAC 40 gained 0.84% ​​and in Frankfurt the DAX rose 0.90%.

In Asia, the Hong Kong Stock Exchange gained 1.7% while that of Shanghai rose 0.3%. The Stock Exchange Tokyo remained closed due to a public holiday.

The context

The New York Stock Exchange also ended on a positive note Wednesday, benefiting from good corporate results.

“A little calm has returned to the market, after a few days of extreme movements partly due to fear about the negative effects that the Delta variant could have on economic growth,” notes Sebastian Paris Horvitz, analyst at LBPAM.

“At the same time, the publication of company results, generally with positive surprises, has surely helped to reassure the market,” he adds.

The main meeting of the day for investors is the meeting of the European Central Bank (ECB), at the end of which its president Christine Lagarde will hold a press conference at 2:30 p.m.

“The ECB’s decision on its monetary policy strategy should be content with a slight change of language in order to integrate its new inflation target, but this should not change the actions it is taking to keep an ultra-policy. -accommodating, ”says Horvitz.

Two weeks ago, the Frankfurt institution indeed announced to end its misunderstood target, unchanged for 18 years, of inflation “below, but close to 2%” in favor of a new target. at 2% over the medium term.

By raising, even marginally, its inflation target, the ECB is thus giving itself more scope before considering a possible increase in its key rates, according to Mr. Horvitz.

On the bond market, the wait-and-see attitude prevailed before the ECB’s verdict: borrowing rates, which have fallen significantly in recent days, remained broadly unchanged.

On the statistical side, the weekly jobless claims and home resales for June in the United States will be published in the afternoon.

On the oil side

At around 7:15 a.m., the price of a barrel of US WTI rose 1.07% to US $ 71.05 and a barrel of North Sea Brent gained 1.01% to US $ 72.96.


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