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This article was published on January 6, 2015 at 09:15.
The last change is the January 6, 2015 at 21:12.
Performance coaster for European stocks (see here the lists). At the start of session, after the collapse of yesterday, there was the classic mini-rebound. Subsequently, however, the markets have lost strength starting the characteristic swinging gait: a bit ‘up and a little’ down. The trend has been expression, among other things, the increase in volatility. Of course, today the Euro Stoxx VSTOXX is a bit ‘dropped: but the Volatility index, utime in five days has risen by over 15%. And the same Vix at the Chicago Stock Exchange since 24 December (14.37) rose to a height of 19.2. In this context, in the face of Wall Street in mid-afternoon veered sharply downward, Milan closed down. The only exception was positive in Frankfurt.
Black gold …
In general however, the scales, in addition to fears for Greece, have experienced the nervousness associated with the oil. Black gold is again falling. On the market of the old continent the US oil quality WTI, fell to new lows for over 5 years and a half to $ 47.89 a barrel. That of the North Sea, also the lowest level since 2009 intraday, is rolled to 51.16 (minimum) per barrel. The reasons for such a dynamic? The same that made tracollare prices a bit ‘of time now. The excess of supply over demand; the weakness of the economy and the strength of the dollar.
… overcapacity barrels …
In the year just ended, it must be remembered, oil has lost about 50% of its value. A decline that was accelerated, despite the global economy slows, the OPEC decision not to cut global production of barrels. Against this, however, countries such as Russia and Iraq have increased the export of black gold carrying overcapacity (is the estimate of Qatar) to about 2 million barrels a day. In such an environment, where you add the continued growth in US stocks thanks to shale oil, it’s no wonder that prices of commodities roll down.
… the report of Moody’s
One problem, of course, for the industry sector. The same Moody’s in a report underlined that point. The rating agency said that companies in the sector are entering 2015 in a “difficult” because of the collapse of crude oil. If in 2015 the oil will remain around $ 55 per barrel lower operating income “will hit the profit of producer groups, reducing the cash flows to be reinvested,” with a chain impact on companies of oil services.
Government bonds and SMEs
From raw materials to fixed income. In the world of government bonds, the spread BTP-Bund was increasing to 140 basis points, with the yield on the Italian which remains below 2%. The rate of the government of Rome, however, has had a start-up to the publication of the PMI services. The latter, in December, has contracted for the first time in the last 3 months. The Purchase managers’ index fell to 48.4 points in fact. Consequently, the composite PMI (manufacturing and services) decreased to 49.4 points. More generally the weakness of SMEs has characterized the entire eurozone. The final value of the composite index on the last months of 2014 stood at 51.4 points. A value below the flash estimate.
The weakness of the single currency
As for the euro currency, intraday fell below $ 1.19 ( close to the minimum of 9 years) on concerns for Greece and waiting for the next moves of the ECB. Then, he raised a little ‘head, back above the threshold of 1.19 to the greenback.
The seat in the Land of the Rising Sun
In the morning, finally closing down for the Tokyo Stock Exchange on concerns linked to changes in oil prices and the political situation in Greece. The Nikkei index closed the session 3.02%, losing 525.52 puntia 16883.19 points. The broader Topix index ended the session in the red of 2.85%, leaving 39.95 points to 1361.14 points on the ground. Sitting very active, with 2.69 billion shares traded.
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