MILANO – Market expectations are growing for the Fed’s new rate decision. The monetary policy committee of the US central bank meets today and tomorrow and traders are expecting a new vigorous squeeze on rates, with the possibility of even a 100 basis point hike to contain the price surge.
However, Europe looks positive on trade, with the European indices all opening in positive territory. Looking at the Fed’s moves, also the Asian indices. TO Tokyo the Nikkei closed an increase of 0.44% while in Japan inflation grew at the highest rate in 8 years.
On the energy front, gas prices continue to decline. At the Ttf in Amsterdam, prices drop in the morning to 172 euros per megawatt hour, down by more than 5%
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Positive opening for European stock exchanges
Stock exchanges worsen pending the Fed
European stock exchanges extend losses in a swing session. Investors’ eyes are on the Fed summit from which a major new rise in interest rates is expected. The Cac 40 in Paris lost 0.90%, the Dax in Frankfurt lost 0.81% and the Ftse 100 in London 0.21%. At Paizza Affari the Ftse Mib drops by 0.83%.
Slight growth in oil
Oil price in very slight increase this morning on the commodity markets: the barrel of crude for delivery in October is trading at 85.81 dollars with an increase of 0.09%. Brent for November delivery changes hands at $ 92.22 with an increase of 0.24%
Stable spread at startup
The spread between BTP and Bund opens stable at 226 basis points. The yield of the 10-year Italian bond stands at 4.08%.
Positive opening for European stock exchanges
The main European stock exchanges open today’s session in positive territory. In Milan, Piazza Affari scores + 0.95% with the Ftse Mib at 22,352 points. A few minutes after the start of trading, Frankfurt marks + 0.53%. Paris earns 0.60%. Positive opening also for London at + 1.00%. On the Asian market, Tokyo closed at + 0.44%, with the Nikkei at 27,688 points.