European stock markets closed lower on Friday, hampering their positive momentum with disappointing US economic data at the start of the session amid a risk of a monetary tightening recession. London lost 0.41% in the final results, Paris ended almost stable (-0.06%), and Frankfurt (+ 0.67%) և Milan (+ 0.29%) advanced. During the week, they suffered significant losses, ranging from 3.3% to 4.9%.
Tightening the monetary policy of the Central Bank
After a sharp decline, the New York Stock Exchange was moving disorganized. At around 16:10 Greenwich Mean Time, the Nasdaq was the only index that was clearly green (+ 0.95%), while the Dow Jones (-0.35%) և S&P 500 (-0.08%) fell. Industrial production slowed more than expected in the United States in May, and industrial production even shrank, which is a clear sign of a slowdown in the US economy as more and more experts fear the collapse of the world’s largest economy. «These are not the first disappointing figures for the United States, there have been signs of poor production, higher-than-expected unemployment, a decline in housing, in short, a number of figures that show that the US economy is slowing down. down and maybe faster than we imagined“, Explains Frederic Rosier, portfolio manager at Mirabaud France. These statistics have reduced oil prices, which are very sensitive to economic growth forecasts. At 16:10 GMT, a barrel of Brent North Sea crude for August delivery fell 4.61% to $ 114.27 a barrel, with West Texas Intermediate (WTI) trading for July delivery at $ 5. , 26%, reaching $ 111.40.
Markets were already aggravated by the tightening of monetary policy by central banks. And first of all, the Federal Reserve (Fed), which on Wednesday announced the acceleration of the movement. Bank of England ազգային The Swiss National Bank have also raised their key interest rates. The European Central Bank (ECB) plans to do so at its next meeting on July 21, before the next increase in September. In this particularly difficult context for markets, no asset lessons have been spared this week in the financial markets. Stock market indices have suffered especially since the beginning of the year. having lost about 23% since the beginning of the year, the S&P 500 has so far registered “The second worst half of its history, I claim, is worse than 1939 և 1940“Frederic Rosier warns. Only in the second half of 2008, during the financial crisis, it was worse, with a decline of more than 29%. «The allocation of equity is at a minimum“Mirabaud analyst adds.Equity outflows set records«.
Low bond interest rates
After a very bad shock this week, the bond market calmed down. Long-term sovereign debt rates were fairly stable. And the difference between the 10-year German պարտ Italian debt կտր has sharply narrowed, falling below 200 points.
The gas is leaving
Reduction of gas supplies from the Russian giant “Gazprom” to Europe raised the benchmark prices for natural gas in Europe. evening GMT.
Is BNP Paribas interested in ABN Amro?
According to Bloomberg, the banking group BNP Paribas has expressed interest in buying ABN Amro Bank, which belongs to the Dutch state. A source close to AFP told him that he “There is no acquisition process«. The news was enough for ABN Amro to raise its title by 5.65% and BNP Paribas by 0.46%.
On the currency side
Safe dollar The dollar was rising again. It appreciated by 0.77% against the European currency, reaching $ 1.0472 per euro, and increased by 1.30% against the pound. The exchange rate of the US dollar against the yen even rose by 2.18%, which significantly weakened the monetary policy of the Bank of Japan.
Source: Le Figaro
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