MILANO – The European stock exchanges close in growth thanks to the pull of Wall Street, even if the day goes to archive as “mixed”. The attention of the markets is focused on the Nasdaq where the debut of Coinbase takes place, the cryptocurrency exchange platform that brings Bitcoin & Co. in the presence of traditional finance.
Coinbase debuts at Nasdaq, test for the Bitcoin that grinds records
A debut with a bang as shares opened at $ 381 on the Nasdaq, giving the cryptocurrency exchange platform a market cap of $ 99.6 billion, hitting $ 413 and then retracing.
The wait for this important test had heated up the prices of the main cryptocurrency, which now touches the $ 65,000 threshold, updating the all-time highs. The landing on the stock exchange of Coinbase takes place through a direct listing, which means avoiding the normal path of the IPO: banks are not involved in a process of selling shares to investors. The Nasdaq had set the starting price of $ 250 per share, for an overall valuation of about $ 65 billion. In recent days there was talk of 100 billion, which make it the main ‘bag’ by value even in front of the same Nadsaq and the NYSE. Some analysts, however, question the multiples with respect to book values and prospects: even if profits are growing strongly (between 730 and 800 million dollars are expected for the first quarter, more than all of 2020), it worries the business model that fully depends on trading commissions, which would expose revenues to the volatility of cryptocurrencies and above all to the competition that could arise if the market matured, a bit like what happened with ‘traditional’ trading upset by zero-based platforms. Robinhood-style errands.
In general, however, there is the belief that it is an important junction in the path mainstream Bitcoin, at least as an investment asset if not as an alternative currency. The big names on Wall Street have already opened the possibility of dedicating part of the portfolios of their wealthiest clients to cryptocurrencies and analysts are wondering if Bitcoin can become the digital gold of the future, an investment protected from external shocks. For the moment, its history of enormous volatility suggests that most people consider it a purely speculative asset and keep in mind the risks that its holding entails. Fed chairman Jerome Powell also reiterated the concept: “Cryptocurrencies are vehicles of speculation.”
Uncertain markets, Tokyo falls by 0.3 percent
In the meantime, uncertainty prevails on the financial markets, aggravated by the US stop of the J&J vaccine, which again jeopardizes the campaign, even in Europe. The Stock Exchanges of the Old Continent go back to the final thanks to the pull of Wall Street, but still close mixed: Milano it stays in the ranks of the negative ones and loses 0.1%, like Frankfurt. Paris salt by 0.4% e London wears the pink jersey at + 0.7%.
Contrasted closure for Wall Street, with the Dow Jones finishing + 0.16% and the Nasdaq losing 0.99%. Losses in technology and communications stocks weigh. The S&P 500 index fell 0.34%. The Asian stock exchanges traded mixed, inheriting the contrasted closing of the American markets. Tokyo it moves back by 0.33%, while in Japan the increase in infections raises doubts about the economic reopening 100 days after the start of the program to host the Olympics. Hong Kong advanced by 153%, Shanghai by 0.27% and Seoul by 0.4%.
L’euro closed higher above $ 1.19. The European currency changes hands at 1.1969 dollars and 130.45 yen. Dollar / yen moves back to 109.
In addition to the vaccination issue, the markets are looking at the data on the industrial production in the Eurozone, which recorded a 1% monthly decline in February. In the afternoon, data on crude oil stocks will arrive from the United States. In the evening, the Federal Reserve will publish the Beige Book. Also planned is a speech by Governor Jerome Powell at the Economic Club in Washington and Fed members Williams and Clarida. Also departing new season of quarterly accounts, with the results of the big banks of Wall Street: record profits for Jp Morgan and Goldman Sach. Meanwhile, the ECB has released its annual report, in which it invites you to hurry up with the Recovery Fund. The spread closed slightly higher at 105 basis points, while Brussels announces a financing plan of 150 billion a year to spend the Next generation Eu.
In Italy, the Government is working on defining the new budget variance and the launch of the Def 2021, which could be presented today in the Chamber.
Prices of Petroleum rallied after the data on weekly crude oil stocks in the US, which fell for the third consecutive week and this time significantly beyond expectations. The drop was 5.9 million barrels, against expectations of 2.9 million barrels. In New York, the WTI barrel changed hands at $ 62.64 with an increase of 4.09%. In London, Brent is trading at $ 66.09, marking + 3.8%. The latest OPEC outlook also affects, according to which crude oil demand is set to rise, reaching 5.95 million barrels per day, up 70,000 barrels from last month’s forecasts.
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