TOLERANCE VIEW IN EUROPE UNDER A RAIN OF RESULTS
by Marc Angrand
PARIS (Reuters) – Major European stock markets are expected to rise on Thursday after a new burst of generally encouraging results temporarily lowered fears of war in Ukraine and restrictions in China, even if attention continues to rise. raises the dollar.
Futures for the index suggest a rise of 0.56% for the CAC 40 in Paris, 1.12% for the Dax in Frankfurt, 0.51% for the FTSE 100 in London and 1.2% for the EuroStoxx 50.
The futures on key US indexes are currently suggesting a greenback on Wall Street, led by the Nasdaq, which could get more than 1% after the better-than-expected results released Wednesday night by Meta Platforms: l The parent company of Facebook, Instagram and Whatsapp gained more than 20% in off-site exchanges.
In Asia, Samsung Electronics reported quarterly gains of 51%, while warning that shortages of semiconductors are likely to continue in the second half.
In Europe, the session will be revitalized again by turnover and results publications, including the menus of TotalEnergies, Sanofi, Thales, Capgemini, Pernod Ricard, Unilever, Nokia and Barclays.
At the same time, investors continue to monitor developments in the energy market after the interruption of Russian gas supplies to Poland and Bulgaria, which caused a jump in the reference price of natural gas by 10% in Europe on Wednesday.
In China, the health situation remains worrying, as Beijing authorities have closed several public places while continuing a massive campaign of tests aimed at avoiding large-scale closure.
This is also the first estimate for growth in the United States in the first quarter, which is expected to signal a significant slowdown in gross domestic product (GDP), or even a contraction, due to a record trade deficit.
ON THE WALL STREET
The New York Stock Exchange closed lower on Wednesday, the S & P-500 and Dow Jones benefited from the stable quarterly results published by Microsoft (+ 4.81%) and Visa (+ 6.47%), the which reassured investors worried about the prospect of a global economic slowdown and rising interest rates, while the Nasdaq remained virtually unchanged, restrained by Alphabet’s 3.7% decline.
At the close, the Dow Jones was up 0.19% at 33,301.93 points and the Standard & Poor’s 500 was up 0.21% at 4,183.92 points while the Nasdaq Composite was down 0.01% at 12,488.93 points.
On the Tokyo Stock Exchange, the Nikkei index rose 1.75%, its best performance in two weeks, with the acceleration accelerating after the announcement of the Bank of Japan (BoJ) to maintain its extremely easing monetary policy without any changes , while investors feared inflation-related adjustments.
In China, the rise is coming to an end as closure approaches, despite repeated promises of support for the economy and jobs from Prime Minister Li Keqiang: Shanghai SSE Composite takes just over 0.03% and CSI 300 has almost return to balance.
Remaining rising, the dollar hit a 20-year high against the yen at 130.27 yen (+ 1.31%) following the Bank of Japan’s status quo, which widened the interest rate gap with the Fed.
The euro continues to depreciate, punished by fears of a significant slowdown in growth in Europe due to the conflict in Ukraine and tensions with Russia: it lost 0.39% against the dollar to 1.0514 after a brief fall below 1 , 05 for the first time since March 2017.
In the government bond market, US bond yields continued to rise from Wednesday, but spreads fell ahead of the Federal Reserve meeting next Tuesday and Wednesday. The ten-year period appears at 2.8282%, the two-year period at 2.597%.
In Europe, the German ten-year is virtually stable at the beginning of trading at 0.815%. Investors will watch the first estimate of German inflation in April at 12:00 GMT.
The price of oil fell again after two sessions of recovery, overcome by fears of falling Chinese demand due to health restrictions.
Brent fell 1.43% to $ 103.81 a barrel and US West Texas Intermediate (WTI) fell 1.22% to $ 100.78.
(Written by Marc Angrand)