2024-02-16 12:55:11
In Europe, around 12:20 GMT, the Paris Stock Exchange (+0.55%) and the Frankfurt Stock Exchange (+0.75%) were trading at historic highs during the session, the day following a record close. The Milan Stock Exchange (+0.55%) was at its highest since 2008 and that of London gained 1.24%. In Switzerland, the flagship SMI index gained 0.59%.
In Asia, the Nikkei, the flagship index of the Tokyo Stock Exchange, gained 0.86% and reached a record close. The Hong Kong Stock Exchange gained 2.48% and concluded its third positive session in a row.
“Asian stock markets extend gains made on Wall Street overnight,” where the S&P 500 hit a new high, comment Deutsche Bank analysts.
“The good news on growth as well as the fact that the deceleration of inflation continues, which will surely lead to the relaxation of monetary policies, are factors which partly justify the optimism which has reigned on the markets since the start of “year”, explains Sebastian Paris Horvitz, director of research at LBPAM.
The European (ECB) and American (Fed) central banks have both raised their key rates to unprecedented levels to bring inflation back to the target of 2%.
The year 2024 will mark the start of the cycle of monetary easing by institutions and the first cuts in interest rates are eagerly awaited by investors.
On Wall Street, the futures contracts of the three main indices oscillated between -0.09% and +0.57%, suggesting a scattered opening.
On Friday, markets will be paying attention to speeches from San Francisco Fed President Mary Daly and Fed Vice President for Banking Regulation Michael Barr.
The Producer Price Index (PPI) for January in the United States, followed by consumer confidence figures for February are also expected.
Macroeconomic publications are particularly followed by investors, who try to anticipate the possible deadline for a first reduction in key rates from the Fed and the ECB.
On the bond market, the yield on ten-year US Treasury bills stood at 4.26%, compared to 4.23% at the close on Thursday. That of Germany at the same maturity, the Bund, which is the benchmark in Europe, was moving at 2.39%, compared to 2.36%.
Temenos continues its decline
The action of the Swiss group Temenos tumbled by more than 30% on Thursday and fell by even more than 7% in Zurich on Friday around 12:10 GMT, still affected by accusations of accounting irregularities emanating from the short-selling fund Hindenburg Research.
Elsewhere on the Swiss stock market, the chemicals group Sika gained 4.37%, despite mixed annual results in 2023. In a market commentary, Mark Diethelm, analyst at Vontobel, welcomed the increase in the dividend, estimating that Sika is a “dividend aristocrat”.
Eni: falling profits
The Italian hydrocarbon giant Eni lost 2.66% in Milan following publishing a net profit falling 66% to 4.74 billion euros in 2023, a result significantly lower than analysts’ expectations.
Natwest driven by high interest rates
The British banking group Natwest jumped almost 6% in London, driven by the sharp increase in both its profit and its turnover last year.
On the side of oil and currencies
Oil prices fell around 12:15 GMT, weighed down by estimates of slowing growth in global demand in the latest IEA market report.
The price of a barrel of Brent from the North Sea, for delivery in April, lost 0.82% to 82.18 dollars. Its American equivalent, a barrel of West Texas Intermediate (WTI), for delivery in March, fell 0.64% to $77.53.
On the foreign exchange market, the greenback was almost stable once morest the euro, which lost 0.02% to 1.0775 dollars, and appreciated slightly once morest the British currency, which dropped 0.06% to 1. $2591.
Bitcoin advanced 1.8% to $52,295.
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