Friday, May 27, 2016

The G7 is committed to growth. Bags cautious before the US GDP – The Republic

MILAN – The global lists are awaiting data on US gross domestic product, which will orient the mood on Wall Street and give a strong indication to the Federal Reserve on whether to raise the cost of money, thus following the gradual monetary tightening initiated last December after eight years of ultra-expansionary policy.

the G7 summit in Japan, which ends today, has taken note of the fact that “global growth remains moderate and below potential, while risks still remain weak economic dynamics “, then pointing out that” global growth is an urgent priority. ” The final declaration is centered the expectations of the markets when it supports the need to use all the tools – monetary, fiscal and structural – to support the recovery, although with the usual measured tones and certainly not full of practical recipes; however, was that to which looked, for example, the Aberdeen economists in the report of the summit’s eve. Repeated, then, the reference to Brexit risk, with a unified condemnation as “new great risk” that hangs on the world dell’econonomia head.

As a corollary of these commitments, both China and Japan have launched signals that supported the mood of the markets: Beijing has made it known to have fiscal space to further support domestic growth, while Tokyo has put on the agenda postponing the raising of VAT from 8 to 10%, that in the coming months it could depress consumption. If oil then took a break in the recent path of consolidation, the dollar has given signs of stabilization.

In short, the last eight will have gone by dissolving those nodes that weighed on the price lists and not randomly markets recovered the losses of the first part of the month. European stocks opened cautiously, with Milan that yields 0.3% like Paris . It remains the same London and Frankfurt yields 0.1%. To signal the operation Creval, which sold 2% Holding Soul on the market for a value of 33 million. In the morning, the Tokyo Stock Exchange has taken advantage of the weakening of the yen to close in rise of 0.37%.

The change euro-dollar it is stable to below 1.12, with the currency of the old continent that changes 1.1196 greenbacks. The spread between BTP and German Bund is down slightly to 122 basis points, before the ‘ auction of six-month Bot from 6 billion in Treasury. Rich macroeconomic agenda: Istat publishes data on business confidence and consumer of May. France has already emerged the rise in consumer confidence, with the index at 98 points against the 94 of April. But it looks especially to the US, for The preliminary figure of US GDP in the first quarter and for the speech that today the Fed chairman, Janet Yellen , keep at a sponsored event from Harvard university, from which operators hope to draw some light on the addresses of the short end of the US central bank policy (suspected to orient themselves to proceed to a new rise in rates already in the summer). Do not underestimate the consumer confidence of the University of Michigan. In Japan, meanwhile, in April, consumer prices were back down, down, excluding perishables, by 0.3% a year.

As mentioned, the oil is falling after the recent rally with Brent that yields 0.77% to $ 49.21 a barrel, and WTI down 0.71% to $ 49.13 a barrel. Gold : smooth on Asian markets at $ 1,221.62 showing an increase of 0.15%. flat closing, last night, for Wall Street , with the Dow Jones index to 17,828 points (-0.13%) and the Nasdaq in 4902 (+0.14%).

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