Stock markets: Europe sees a cautious rise on the day US inflation figures are released
Tech shares are up, whilst banks are sluggish following mixed US quarterly results. The euro is above $1.12, and oil prices are up slightly
Le ultime da Radiocor
Borsa: Europa positiva nel giorno dell'inflazione Usa, +0,2% Milano
*** BTp: spread apre in lieve calo a 105 punti, rendimento decennale flette al 4,50%
Borsa Tokyo: chiude in lieve calo (-0,05%) aspettando dati inflazione Usa
(Il Sole 24 Ore Radiocor) - The anticipation surrounding the release of September’s US inflation figures is prompting investors to exercise caution, as they continue to monitor the progress of the quarterly results season and developments on the geopolitical front. The European stock markets are up slightly, whilst the resurgence of buying in tech shares is partly offset by concerns over rising energy prices.
The FTSE MIB on the Milan Stock Exchange is thus seeking to consolidate its position above the 50,000-point mark.
On the macro front, US inflation figures will be crucial to understanding the scope available to the Fed in terms of monetary policy. The market currently expects the status quo to be maintained at the end of the month (a scenario deemed 78 per cent likely according to CME FedWatch data), whilst a 25-basis-point rate rise in December is priced in at 71 per cent.
Tech stocks are doing well, but banks are struggling
Turning back to the Milan stock market, amongst the leading shares, buying is favouring Avio , Prysmian and STMicroelectronics , whilst banks are underperforming, following mixed quarterly results from the US giants and in the wake of the rejection, by proxy advisor ISS, of the share buy-back programme proposed by Banca Monte Paschi Siena on Banco Bpm and Banca Generali .
Euro above 1.12 dollars, oil prices up slightly
On the foreign exchange market, the euro has climbed back to 1.12 dollars and is trading at 1.1210, up from 1.1193 at Tuesday’s close. The single currency is also trading at 177.40 yen (up from 177.28), whilst the dollar/yen exchange rate stands at 158.26, compared with 158.38 in the previous session. On the energy front, oil prices are up slightly: the November WTI futures contract rose by 0.31% to $94.43 per barrel, whilst the December Brent contract rose by 0.26% to $105.97. Gas is trading at €87.60 per megawatt-hour, up 1.6 per cent.
