The EU stock exchanges close positively. Milan +0.1%, London records
A tonic session for the European stock exchanges which continue to be optimistic, despite the contrasting macro data making it more difficult to forecast the next moves by the Fed and the ECB. After US inflation fell, but less than expected, this time it was the turn of US retail sales in January, well above estimates. That leaves inflationary pressures intact and risks making the Fed more aggressive, while on the other hand investors breathed a sigh of relief that UK inflation was lower than expected. But the key event of the day, in reality, is scheduled for closed markets, when Christine Lagarde from Strasbourg will take the stage on the occasion of the ECB’s annual report. The season of the quarterly reports is also the master, with the accounts that reward Carrefour (+8.9%) and Kering (+3.3%), with the resounding thud instead of Barclays (-8%).
In this climate, Piazza Affari is the one most affected (+0.13%), above all due to sales on banks, managed savings and utilities. The best stock exchange was that of Paris, up by 1.2% in the end, with Frankfurt and Amsterdam up by 0.8%. Positive also London (+0.5%) – with a new record above 8 thousand points – and Madrid (+0.2%).
On the currency side, the euro weakens to 1.0668 dollars (from 1.0759 at yesterday’s close). The single currency changes hands at 143.29 yen (from 142.14), while the euro/yen cross is at 134.32. In sharp reverse the pound to 1.2 against the dollar (-1.4%) after lower than expected UK inflation. With US oil inventories increasing more than expected, oil is down: March WTI futures drop 1.56% to 77.83 dollars a barrel, April Brent 1.38% to 84, $38.