In Asia, the Nikkei 225 added 0.3% in Tokyo. The Shanghai stock market fell 0.7% and the Hang Seng plunged 2.1% in Hong Kong. (Photo: The Canadian Press)
MARKET REVIEWS. Global markets are moving without a clear direction on Tuesday morning, with investors showing a wait-and-see attitude at the start of a week during which the publication of US inflation and a meeting of the European Central Bank will set the tone on the fight against inflation .
Stock market indices at 7:30 a.m.
THE FTSE100 British added 0.4% at the start of the session in Europe, but the German DAX lost 0.4% and the French CAC 40 0.1%.
In New York, before the markets opened, the average Dow Jones industrial values fell by 0.2% and the expanded index S&P 500 by 0.3%.
In Asia, the Nikkei 225 added 1% to Tokyo. The scholarship of Shanghai slipped 0.2% and the Hang Seng from 0.4% to Hong Kong. Sydney took 0.2% and Seoul lost 0.8%.
On the New York Commodity Exchange, the oil price took 54 US cents to US$87.83 per barrel.
THE bitcoin regained 2.60%, to 25,740 US dollars ($US), after reaching its lowest level in three months on Monday, falling below US$25,000.
The context
Investors are showing a wait-and-see attitude “at the start of the week of all dangers”, according to investment specialist at Mirabaud John Plassard.
They are particularly awaiting the publication on Wednesday of American inflation figures, a fact that the American Central Bank (Fed) is trying to curb by increasing its key rates.
“It seems unlikely that headline inflation will return to the desired 2% target anytime soon. Therefore, the path ahead remains difficult and the Fed still has a long way to go,” says Stephen Innes of SPI AM.
The Fed resumed rate hikes in July, but the analyst believes future U.S. inflation data “will be moderate enough to deter further rate hikes.”
If the Fed still dreams of “achieving a soft landing” for the American economy, “everyone agrees” on the other hand to say that “the situation in the euro zone is not brilliant”, adds Ipek Ozkardeskaya, analyst at Swissquote Bank.
The other big meeting will therefore be the monetary policy meeting of the European Central Bank (ECB) on Thursday in Frankfurt.
The institution will have to choose between raising its rates for the tenth time in a row or decree a pause, with a disappointing inflation trajectory and a gloomy economic situation.
Its president Christine Lagarde “could be tempted to raise interest rates one last time to control inflation, but the decision will not be easy,” says Mr. Plassard.
The bond vice is loosening
On the bond market, rates were easing, after significant increases on Monday, driven by the prospect of central bank rates being “high for a long time”, notes Stephen Innes.
Yields on the 10-year US Treasury have reached “their highest level in 16 years”, specifies the analyst. On Tuesday, these eased slightly, going from 4.292 0 at the close the day before, to 4.280 1 around 3:17 a.m.
The interest rates on French ten-year loans (3.153.7 against 3.171.5 the day before), British (4.444.8 against 4.467.7) and German (2.618.8 against 2.636.93) also eased.
“We think that bond yields are close to a plateau,” analyzes Mr. Innes, “but to convince investors of this, the economy will probably have to be weaker and inflation lower.”
Airbus is struggling
Airbus was in trouble on Tuesday, after the American aerospace and defense company RTX announced a charge of 3 to 3.5 billion US dollars in the “next few years” for problems caused by contaminants. in engines.
The Franco-German aircraft manufacturer, which will see the engines of hundreds of its Airbus 320neos inspected in advance for the detection of this defect, lost 1.41% around 3:25 a.m.
On the side of oil and currencies
Oil prices are up on Tuesday. Around 3:20 a.m., a barrel of North Sea Brent for delivery in November was trading around US$90.77 (+0.14%) and a barrel of American West Texas Intermediate (WTI), due in October, around US$87.49 (+0.23%).
On the foreign exchange market, the US dollar appreciated against all major currencies. Around 3:20 a.m., it gained 0.22% against the euro, to 0.932 2 euros per US dollar, and 0.14% against the yen, to 146.8 yen per dollar.
