MILANO – 9:15 am. The minutes of the meeting of the Federal Reserve, the American Central Bank, at the end of July certified that the main exponents of the US central bank indicate the start of the tapering, that is, the beginning of the withdrawal of its huge financial support to the economy (120 billion dollars of purchases per month), by the end of the year.
The governor Jerome Powell he recently explained that the Delta variant is an unknown factor that weighs on the recovery and repeatedly assured that the theme of inflation is seen as temporary, and moreover the Bank will be very patient in handling it. But the discussion within the Fed has now started: the highest probabilities are for an announcement at the September meeting, remembering that even if the withdrawal were to start in the coming months it will in no way be linked to a possible rate hike. Despite all the reassurances of the case, the start of the Washington shutdown could not fail to have repercussions on the markets. A similar forecast added to the already gloomy mood in the markets for the rapidly spreading Delta variant, which is forcing a review of the timing of the global economic recovery.
The positions of the American governors freeze the opening of European markets: Frankfurt drops 1.5% at start-up, Paris l’1,9%, London 1.8%. Also Milano feel the blow and the Ftse Mib falls back by 1.65%, with all the blue chips in negative ground.
In the morning, the repercussions of the Fed’s orientation were already felt in Asia: the Tokyo it lost 1.1%, while the session was in progress Hong Kong loses 1.8% e Shanghai 0.7%. Worth noting is the new decline in Alibaba, which pushed to historic lows in the wake of Beijing’s tightening on the technology sector. Yesterday evening, a Wall Street the Dow Jones had turned lower, eventually losing 1.1% in the second consecutive session in the red after five records in a row. The S & P500 was down 1.07% and the Nasdaq 0.89%.
In the early trading of the day on the bond markets it spread between BTP and Bund ten-year returns just over 104 basis points, to 104.15, after closing yesterday at 103.3. The yield of the Italian 10-year is stable at 0.55%. L’euro it slips against the dollar in early trading on European markets at $ 1.1671 after changing hands at $ 1.1713 yesterday after the close of Wall Street. At the moment the euro changes hands at 128.46 yen.
Among the victims of the backlash resulting from the Fed’s minutes is the price of Petrolium which retreated to the lows since May: the WTI delivered in September marks the New York Mercantile Exchange a drop of 1.4% to 64.53 dollars a barrel after hitting the intraday lows of 64.24 dollars, thus touching the lowest level since May 24: is the decline for the sixth consecutive day. Brent settled in October was -1.1% at $ 67.47 a barrel on the Ice Futures Europe market. Effects can also be seen on the prices of theoro with immediate delivery that on the Asian markets falls by 0.5% to 1778.68 dollars an ounce.
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