2023-07-10 05:53:49
The entrance to the New York Stock Exchange on Wall Street
by Laetitia Volga
PARIS (Archyde.com) – Spreads should be limited in major European markets on Monday at the opening ahead of a week marked by US inflation figures and the start of earnings releases in the United States.
The first indications available indicate a decline of 0.15% for the CAC 40 in Paris, 0.06% for the Dax in Frankfurt, 0.08% for the FTSE in London.
On Friday, European stock markets closed moderately higher after the release of monthly US employment data. The world’s largest economy created the lowest number of jobs in two and a half years in June, which somewhat eased concerns about the pace of monetary tightening that remains to be accomplished by the Federal Reserve.
Investors continue to overwhelmingly believe that the Fed, after a pause in June, will raise rates this month to a range of 5.25%-5.5% and stay there thereafter.
Caution should dictate the trend until the publication on Wednesday of US inflation figures that the Archyde.com consensus gives at 3.1% over one year, after 4% in May.
The results of several large banks – JPMorgan, Citigroup and Wells Fargo – are also expected on Friday. “Consensus expects S&P-500 earnings per share to fall 9% year on year, due to steady sales growth and margin compression,” noted analysts at Goldman Sachs.
VALUES TO FOLLOW:
A WALL STREET
The New York Stock Exchange ended Friday down a volatile session after the publication of monthly US employment figures.
The Dow Jones index fell 0.55%, or 187.38 points, to 33,734.88 points, the S&P-500 lost 12.64 points, or 0.29%, to 4,398.95 points and the Nasdaq Composite fell 18.33 points (-0.13%) to 13,660.72 points.
The Russell 2000 small cap index stood out with an increase of 1.22%.
Over the week, shortened by Independence Day in the United States on Tuesday, the Dow lost 2%, the S&P-500 1.2% and the Nasdaq 0.9%.
At individual stocks, Levi Strauss fell 7.73% after a downward revision to its full-year profit forecast amid rising costs while Rivian Automotive jumped 14.25% after quarterly deliveries beat expectations .
IN ASIA
The Nikkei in Tokyo (-0.04%) is stable, hampered by the fall in Wall Street on Friday and by the rise in the yen, which penalizes export-oriented stocks.
Thus, the car manufacturers Subaru, Honda and Nissan lost from 1.17% to 1.69%.
The Chinese trend is supported by hopes that Beijing will introduce further stimulus after the release of disappointing economic data. The producer price index fell 5.4%, its weakest pace since December 2015, while consumer prices remained stable amid a post-COVID economic slump that weighed on the asked.
Market sentiment is also being helped by the calming of US-China relations following a visit to China by US Treasury Secretary Janet Yellen, who reported “productive” meetings with senior Chinese officials during her trip there. last week.
The CSI 300 index gained 0.3% and the Hang Seng 0.47%. Hong Kong-listed Alibaba shares rise 2.67%. Its subsidiary Ant Group has been fined 7.12 billion yuan (902 million euros) in China, investors seeing it as a sign that the multiple investigations by the Chinese authorities to bring the technology sector to heel will soon be over. in the country.
EXCHANGES/RATES
The dollar, which fell 0.8% after the employment report, regained some ground against a basket of currencies (+0.2%).
Yields on US Treasuries are rising slightly in trade, to 4.0799% for the ten-year and 4.9526 for the two-year.
OIL
On the oil market, Brent lost 0.57% to 78.02 dollars a barrel and American light crude (West Texas Intermediate, WTI) 0.65% to 73.38 dollars.
NO MAJOR ECONOMIC INDICATOR ON THE JULY 10 AGENDA
(Laetitia Volga)
1688971110
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