Stock market day guide


AGI – Markets are traveling AC and after weeks of gains, they are holding their breath and waiting for it the final reading of US third-quarter GDP today and PCE inflation, the Fed’s preferred price gauge, tomorrow. Yesterday, Philadelphia Fed President Patrik Harper said it was still too early to cut borrowing costs, although he believed monetary tightening had peaked.

In recent days, several US central bank officials have attempted to do just that temper market optimismbut with mixed results, as operators still price a 25 basis point cut in March above 70% and all three US indexes are on track for a winning December and 2023. Asian stock markets are mixed today, while Wall futures The Street is slightly higher after the three New York indexes cooled their rally and encouraged profit-taking yesterday.

Losers were led by the Tokyo Stock Exchange, down more than 1.5%, which was hit by the a deepening scandal involving the nation’s largest automakers. Number one, Toyota Motor fell nearly 4% after it said its Daihatsu unit would suspend all vehicle deliveries in light of serious safety breaches. The scandal affects around 64 models and also affects those who Daihatsu produced for Mazda engine AND Subarufell between 2.7% and 4%, while Nissan Motors lost 3.1%.

Toyota did not specify the financial impact of the suspension. Despite today’s drop, the Nikkei is among the Asian stock markets with the best results this year, mainly thanks to the Bank of Japan’s accommodative monetary policy. Seoul also shed more than half a percentage point, while Hong Kong rose slightly and Shanghai advanced more than half a point, despite concerns about a sluggish economic recovery that continues to weigh on Chinese stocks, which have lagged other stock markets this year.

Asian currencies were little moved as the dollar strengthened and gained 0.15% against the yuan, while it lost slightly against the yen, which returned below 143 against the greenback. Oil prices eased slightly to below $80 a barrel after rallying in recent daysunstable geopolitical situation in the Red Sea, the world’s busiest trade route, which has become almost impassable to container ships and large oil tankers due to attacks by Iran-aligned Yemeni rebels. EuroStoxx futures are also turning higher after European shares closed weak and mixed yesterday on the day Ecofin approved the new Stability Pact, while London rallied and the pound fell after UK inflation data, which fell more than was expected

“This week – commented Vincenzo Bova, senior analyst at MPS – there could be a small downward correction in stocks. The market is becoming less liquid, due to the upcoming holidays and profit taking after seven consecutive weeks of growth is possible, although I do not foresee major shocks.”

Reproduction is expressly reserved © Agi 2023


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