MILAN – A triple effect plays in favor of the renewed vigor of international markets, after a period of high volatility and corrections related to the sell-off on the bond sector: the possibility that eventually Greece and the EU institutions will sign a agreement and that the Federal Reserve – forced to tell the truth from macro data just exciting – postpone the rate hike. Added to this is the promise of the ECB to increase the pace of purchases in the next two months, with the effect of reducing the spread and collapse the euro.
So in the operating rooms explains the massive return orders to buy (it It rained many to push up global prices of 72.3 trillion dollars in just one day on Monday, according to the calculations of Bloomberg ). From Athens, the finance minister, Yanis Varoufakis , has returned to speak with optimism: “We are very close to an agreement,” said broadcaster Hellenic Star TV , also giving a deadline for the signing: “I think in a week.” Even Prime Minister Alexis Tsipras was unbalanced in a similar way: “After long and difficult discussions, we are close to signing a final agreement that is beneficial for both sides,” said the industrialists. Too bad that a few hours earlier, the EU Commissioner for Economic Affairs, Pierre Moscovici, was much more cautious: “Even we did not.” Angela Merkel and Francois Hollande , jointly, instead of asking “accelerate” negotiations, but added that “by the end of May” a solution must be found. To Christine Lagarde of the IMF, “there is some progress,” but the situation “remains difficult”. In short, the ballet of information continues, but this time it seems we can really get to an agreement in the European summit in Riga on 21 and 22 May, or soon after, to avoid new liquidity problems of Athens and its banks. Concrete, meanwhile, Greece has forwarded to Brussel Group its proposed reform of VAT, which is an important step towards the release of tranches of 7.2 billion of aid.
The European markets, in this context, speed up the final. Milan closes rally 2.22%. Well the other EU: London check a gain of 0.38%, Frankfurt fly to + 2.23% and Paris to +2 , 09%. Athens closes on trust with a + 2.6%. Spotlight on the automotive sector, after the ACEA published data growth: + 7% in April in Europe, with double Fca that all traveling to + 13.4%. Wall Street goes flat, after the record of the evening before when in Europe closed the trading day, the Dow Jones is unchanged, as the S & amp; P500, while the Nasdaq moves back of 0.1%.
The spread between BTP and German Bund narrows, the yield spread between government bonds moved into area 120 basis points and the ten-year BTP offers 1.8%. The performance bond engrave the words of Benoit Coeuré, who announced increased purchases by the ECB “in May and June, due to the low liquidity that exists on the market at this time, only to slow them down in September.” Indications that reverberate also on currency, where the ‘ € closed at $ 1.1143 on strong decline after falling to a session low of $ 1.1121.
From macroeconomic front there’s a mixed message. Eurostat has confirmed that the ‘ annual inflation in April was rising to 0%, after -0.1% in March. In the UK, inflation marked a + 0.2% monthly and 0.1% annually in April: the decline not seen since 1960. Back to the level of the Eurozone, in March, the in trade surplus in goods with the rest of the world was $ 23.4 billion compared to 16.1 billion a year earlier. Finally, on the list of bad news, there is the fall well beyond the expectations of ‘ German ZEW index in May after the surprise decline in April, the morale of the German investors continued to show signs of disappointment the economic confidence index slumped to 41.9 in May from 53.3 in April, against expectations for a smaller decrease to 48-50 points.
In the US, the number of new ongoing initiatives that grew in April by 20.2% to a seasonally adjusted quota of 1.135 million units. In the same month, building permits are asliti by 10.1% to 1,143,000. These figures are well above expectations. In the morning, the Tokyo Stock Exchange ended the session with a sharp rise in the Nikkei index gained share 20,026 points (+0.68%).
Finally, with regard to raw materials, the oil records a significant drop: price per barrel WTI for delivery in June down to 57 dollars a barrel, while Brent North Sea stationed in area $ 65. At the close of the stock EU ‘s Gold gives 1.6% to EUR 1,207 an ounce.
No comments:
Post a Comment