(ABM FN-Dow Jones) European shares will open lower on Thursday after a losing session on Wall Street.
IG expects an opening 242 points loss for the German DAX, minus 116 points for the French CAC 40 and a 104 point drop for the British FTSE 100.
European shares closed significantly higher on Wednesday.
Stock markets posted solid gains, with cautious trading during the first half of the trading day ahead of US inflation data.
Figures from the US Department of Labor showed that consumer prices rose 8.3 percent year-on-year in April, from a forecast of 8.1 percent. In March inflation was still at 8.5 percent.
The disappointing drop in inflation fueled fears that the Federal Reserve may choose to raise interest rates by 75 basis points in the coming months. But those concerns appear to be fading quickly, too, according to asset manager Wim Zwanenburg van Struve and Limberger.
Zwanenberg said inflation appears to have passed its peak, although it will remain elevated in the coming months.
“In the meantime, aggressive rhetoric at the European Central Bank has exceeded all expectations and many Governing Council members are leaning toward a rate hike in June or July, ahead of old expectations of a rate hike in the fall,” said Geraldine Sundstrom of Pimco. This morning, President Christine Lagarde hinted at a rate hike in July.
On the macroeconomic front, it was announced in Germany on Wednesday that consumer prices rose faster in April than in the previous month. Inflation was 7.4 percent on an annual basis, while consumer prices rose 0.8 percent on a monthly basis. The numbers were consistent with the provisional numbers.
Thyssenkrupp raised its annual forecast after an increase in results in the last quarter. The stock rose more than 10.0 percent.
Ahold Delhaize also became a bit more positive about its earnings outlook for the year. However, the stock lost more than 5.0 percent, according to analysts, because the Bol.com IPO could prove difficult.
In Paris, cosmetics company L’Oreal rose about 5.0 percent, Total’s energies rose more than 4 percent, while Alstom lost nearly 4.0 percent. Alstom has reported excellent quarterly numbers, according to Jefferies, but the forecasts released raised many questions, according to the investment bank.
In Frankfurt, Allianz led the way with profits of about 6.0 per cent. Porsche shares rose about 5.5 percent, while rival BMW gained more than 5 percent.
Bayer stock, still with yesterday’s numbers, fell about 6.0 percent. The US Justice Department wants the Supreme Court to dismiss Bayer’s appeal in the Roundup case.
Wall Street Ranking
At the close of European stock markets, the leading S&P 500 index was up 0.6 percent at 4,026.14 points. The Dow Jones index rose 0.8 percent and the Nasdaq tech stock 0.2 percent in the red
Euro Stoxx 50 3647.87 (+2.6%)
Stokes Europe 600427.59 (+1.7%)
DAX 13,828.64 (+2.2%)
CAC 40 6269.73 (+2.5%)
FTSE 100 7,347.66 (+1.4%)
SMI 11553.66 (+0.1%)
Ax 682.70 (+1.9%)
Bill 20 3958.30 (+1.5%)
FTSE MIB 23,724.20 (+2.8%)
IBEX 35 8312.60 (+2.1%)
US property rights
Wall Street opened flat on Thursday, according to US futures.
US stocks closed lower on Wednesday after disappointing inflation numbers.
The US trading day was dominated by disappointing inflation data. Figures from the US Department of Labor showed that consumer prices rose 0.3% and 8.3%, respectively, in April, compared to expectations of 0.2% and 8.1%.
The stronger-than-expected rise in consumer prices is fueling fears that the Federal Reserve will raise interest rates by 75 basis points at its next policy meeting.
The setback came at a time when the US stock market was in a sell-off as the Federal Reserve’s accommodative monetary policy waned. Adding to market uncertainty are also the war in Ukraine, which has pushed inflation even further, and new lockdowns in China, which threaten to derail the economic recovery.
“If we only have high policy rates, only high inflation, or only China or Ukraine, maybe we can handle that,” said market analyst Daniel Morris of BNP Paribas Asset Management. “But we have all of this at the same time. That’s why it’s a particularly difficult environment,” he added.
On the macroeconomic front, it was also announced that the number of mortgage applications in the US rose by 2.0% last week. The market index rose from 351.8 to 358.9.
A barrel of West Texas Intermediate crude futures for June closed 6.0%, or $5.95, higher on the New York Mercantile Exchange at $105.71 on Wednesday, although the latest data from the US Energy Agency showed that US crude stocks rose significantly. sharp. last week.
On the macroeconomic front, two bulletins are on the agenda in the US on Thursday. Weekly assistance requests and producer prices for April will be posted prior to the fair.
Coinbase fell into the red in the first quarter of 2022, due to lower revenue. Coinbase stated that the results were in line with its own expectations. The first months of this year were marked by lower cryptocurrency prices and lower volatility, which affected Coinbase’s results. Coinbase shares are down more than 26.0 percent, after dropping 12.6 percent on Tuesday.
Philip Morris International acquires Swedish Match for $16 billion. The cigarette giant pays a 39 percent premium. The stock rose 5.4 percent.
Energy stocks were on the rise. Chevron shares rose 2.0 percent, while Exxon Mobil shares rose 2.5 percent.
Apple fell more than 5.0 percent, while Home Depot lost about 2.5 percent. Intel lost more than 2.0 percent, Microsoft fell about 3.4 percent, and Salesforce.com fell more than 3.0 percent.
S&P 500 Index 3,935.13 (-1.7%)
Dow Jones 31,833.91 (-1.0%)
Nasdaq Composite 11364.24 (-3.2%)
Asian stocks fell mostly on Thursday.
Nikkei 225 25,858.91 (-1.4%)
Shanghai Composite 3063.78 (+0.2%)
Hang Seng 19615.77 (-1.1%)
The EUR/USD was traded at 1.0520. When the US markets were closed on Wednesday, the currency pair was still moving at 1.0519 and when the European markets were closed there was still a position at 1.0550 on the plates.
US Dollar / Japanese Yen 129.79
EUR / USD EUR 1.0520
EUR / JPY 136.55
08:00 Economic Growth – Q1 vlpg (UK)
08:00 Industrial Manufacturing – March (UK)
08:00 Trade Balance – March (UK)
10:00 IEA – Monthly Report (Fra)
14:00 OPEC – Monthly Report (East)
14:30 Support Requests – Weekly (US)
14:30 Product Awards – April (US)
07:00 Siemens – numbers for the second quarter (Germany)
07:00 Merck KGaA – First Quarter Figures (Germany)
Source: ABM Financial News
From Beursplein 5, Editors ABM Financial News Keep a close eye on developments on the stock exchanges, and the Amsterdam Stock Exchange in particular. The information in this column is not intended as professional investment advice or as a recommendation to make certain investments.
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