MILANO – Weak reopening for European lists, in the aftermath of the strong sales that led Wall Street to the worst closing since June 2020, pushed down by the US inflation data which was less slow than expected and therefore gave certainty about a next big move by the Fed. Tokyo followed suit closing sharply (-2.7%) while the yen strengthened after interventions by the monetary authorities were not ruled out.
The US inflation data raised the yield of the two-year Treasury, the most sensitive to changes in monetary policy: it reached 30 basis points over the ten-year, sharpening the inversion of the curve that usually signals recession.
Great attention during the day for Ursula von der Leyen’s communication to the European Parliament on the Commission’s plan for energy and electricity savings in the Old Continent.
Gas rises on the day of the EU plan
Opening of trading of gas futures on the rise at the Ttf in Amsterdam. The commodity price returns above 200 and the contact expiring in October is now trading at 201 euros per MWh, recording a growth of 1.2% compared to yesterday’s closing.
EU stock exchanges fall, the spread closes
The rebound in the opening of fails
sitting for the European stock exchanges. After yesterday’s black day, the main indices open trading in negative territory.
Worst place London with the FTSE 100 at -0.52% and 7,349.65 points. The Cac40 in Paris was also bad at -0.33% and 6,224.92 points and the Dax in Frankfurt at -0.25% and 13,158.94 points. Milan files its losses and manages to gravitate towards parity at -0.04%.
The BTP Bund spread opens slightly to 223 points with the Italian ten-year yield at 3.92%.
Oil down, gold stable
Oil prices still down this morning. The WTI with delivery in October is at 86.79 dollars a barrel and records a decrease of 0.6% compared to the already negative closing yesterday evening. A negative sign also for the Brent listed in London: the barrel for delivery in November is in this case at 92.63 dollars, down by 0.58%.
The spot price of gold is stable on the Asian markets at $ 1,701 per ounce. The variation is almost imperceptible, equal to -0.03%.
Tokyo -2.7%, uncertain futures on Europe
Futures on the main European indices seem to want to attempt a rebound after yesterday’s black day but appear weak and uncertain. The future on the Dax at this moment travels on parity in search of direction. Similar trend also for the Ftse 100 which recorded a + 0.03%.
Heavily negative closing for the Tokyo Stock Exchange, influenced like all world markets by the disappointing US inflation data released yesterday afternoon. Trading for the Nikkei ended with a decline of 2.74% to 27,830.50 points.
Stellantis repurchases own shares from GM for 2.2% of the capital
Stellantis and General Motors have entered into an agreement under which the Italian-French group will repurchase 2.2% (69.1 million stellantis shares) of its capital from Gm, a package that the latter will obtain from the exercise of warrants issued by Peugeot in 2017. The warrants were issued to GM as part of the Americans’ purchase of the Opel Vauxhall automotive business from the Psa group. Following the exercise of the warrants, Stellantis will also deliver around 1.2 million Faurecia ordinary shares to GM as well as a total cash amount of around 130 million euros relating to dividend rights paid by Psa and Stellantis. This is what we read in a note.
Strong losses in Asia, US futures try to rebound
On Wall Street, futures seem to indicate an attempt to rebound after yesterday’s black day. At the moment, futures on the main American indices are traveling with a timid rise. Futures on the Dow Jones recorded an increase of 0.18%, those on the S&P recorded a + 0.2% and those on the Nasdaq a + 0.25%.
Trading yesterday, after disappointing US inflation data, closed with losses ranging between 3.97 percentage points on the Dow Jones and 5.16 on the Nasdaq.
Asian stock exchanges are not saved after the black day characterized by disappointing data on American inflation, and therefore by the fear of new interest rate hikes by the Fed. Trading in the Far East continues in the red with the Nikkei losing 2 , 78%. The whole of China is also bad with losses ranging between 1.08% for Shanghai, 1.50% for Szse Component and 2.73% for Hong Kong’s Hang Seng. Korea is no exception with the Kospi traveling in negative territory, moving back by 1.42%.