A start above parity is expected for EU stock exchanges after the highs reached yesterday by the French Cac 40, the German Dax and the EU Stoxx 600 index, and the umpteenth records recorded on Wall Street by the S&P (+ 0.42%) and the Nasdaq (+ 0.81%), while the Dow Jones made a marginal -0.09%. The US market was supported by the drop in weekly requests for unemployment benefits which fell to the lowest since the beginning of the pandemic, as well as by the Fed which did not disappoint expectations on Wednesday evening at the end of the monthly meeting.
The futures of the US stock market meanwhile travel around parity (S&P -0.02%, Dow Jones -0.09% and Nasdaq + 0.05%), while Asia is in the red (close to the Nikkei close -0 , 61%, Shanghai -0.71% and Hong Kong -1.18%) after Kaisa Group, a real estate group listed in Hong Kong, did not repay a wealth management product. Kaisa, whose bonds have been suspended, is the second largest issuer of offshore high yield dollar bonds among Chinese real estate developers after Evergrande. Concerns about the new increase in Covid-19 cases in China are also weighing on sentiment.
Meanwhile, pending Moody’s decision on Italy’s rating, currently at Baa3 / stable, expected tonight with closed markets, the BTP-Bund spread restarts from 116.7 points at yesterday’s closing, down further (-5 points) after the blaze on Monday when it reached 135 basis points on Monday, a year high. The US T-Bond is also down compared to last week’s top by more than 1.6%, the yield of which is at 1.539 even if at the moment it rises by 0.015 points.
On the macro front, Germany’s industrial production in September disappointed with a decline of 1.1% compared to the + 0.2% estimated by the consensus. Then pay attention to the retail sales of Italy in September (10:00) and those of the euro zone (11:00). In the USA, focus on data relating to the labor market (all at 13:30) from which further confirmation of the recovery underway in the USA after the decline in subsidies for the unemployed yesterday will be available: updates for October of the wages of the non-agricultural sector, the unemployment rate and the average hourly wage. The speeches of several ECB central bankers are on the agenda: Holzmann and de Guindos (9:30), Centeno (10:00), Panetta (12:00).
In the currency, the euro / dollar is at 1.156 (+ 0.03%), the dollar / yen at 113.63, -0.11% and the cross between pound and dollar is at 1.349, -0.03%. Bitcoin is + 1.76% at $ 62,277, still close to its all-time high of $ 64,895 touched last April. Meanwhile, among commodities, oil prices are rising after yesterday’s OPEC + summit did not change the offer. The WTI is + 0.72% at 79.40 dollars a barrel, always on the highest levels for seven years, the Brent marks + 0.27% at 80.76 dollars, at the top for three years. Gold remains below $ 1,800 an ounce, and trades at $ 1,797 (+ 0.24%).
In Piazza Affari, the season of corporate accounts continues: the quarterly reports of Bper Banca and Buzzi Unicem are on the agenda today. The market reaction is also expected to the third quarter financial statements of Leonardo, Enel and Mps published yesterday evening with markets already closed. While before the start of the session, Banco Bpm disclosed the figures as at 30 September, which closed the nine months of 2021 with a net profit of 472 million, + 79.8% over the same period of 2020. Focus also on Prysmian which before start of negotiations announced that it had won a maxi contract worth 630 million euros in the US offshore wind. Finally, it is clear that Banco Desio announced the entry with a reserved capital increase of 4.6 million, in 15% of Anthilia Sgr, also in pre-opening. (All rights reserved)