(Il Sole 24 Ore Radiocor) – Risks to inflation and fears of lower than expected growth weigh on market sentiment and today’s one promises to be another session of uncertainty for European markets. The major indices opened lower.
Eyes also focused on the start of the quarterly season, we start in the United States with Jp Morgan and Blackrock, while the global shortage of raw materials and chips raises fears for production. Eyes also on the techs, after Apple’s weakness that could cut the iPhone production targets for 2021 precisely due to the lack of chip supplies. On the currency, the euro recovered slightly to 1.1547 dollars while crude oil did not move much with the Brent at 83.4 dollars a barrel.
Tokyo closes weakly, worries about rising energy prices
Closing down slightly for the Tokyo Stock Exchange which confirmed the negative pitch of yesterday’s session. Operators continue to worry about the rise in energy prices and the awakening of inflation expectations. The Nikkei index of 225 leading stocks thus closed at 28,140.28 points, down 0.3 percent compared to yesterday’s reference. The broader Topix index also fell, ending 0.45% lower at 1,973.83 points.
European equity markets closed on Tuesday on weakness, albeit above the lows of the day. Investors are still affected by the risks to global inflation, also highlighted by the International Monetary Fund, and concerns about China, with Evergrande still at risk of bankruptcy after not paying the third coupon accrued on its bonds to creditors. Paris lost 0.34% like Frankfurt, London finished -0.23%.
Instead, Piazza Affari moved against the trend, where the FTSE MIB ended up by 0.23%, also driven by the indications of the IMF, which unlike what happened for the rest of the globe has revised upwards (5.9% from 4.9% three months ago) the growth forecasts for Italy in 2021. Meanwhile, the expectation for the quarterly financial statements of companies listed on Wall Street is growing: their trend, as often happened in the past, could momentarily distract attention to underlying macro issues and orienting the markets.