Bag: Trade negotiations loosen on Wall Street and promotes European stock markets | Financial markets
The new phase with the intensity of the trade war stimulates optimism among investors from Wall Street and Europe. China and the United States have agreed A significant reduction of mutual applicable tariffs For an early period of 90 days. This is not the perfect conclusion of tensions, but the intention of reducing the intention of the two great economies in the world is to put it on the table and the search for meeting points. The excitement in the United States is particularly evident: Dow Jones and S&P 500 will increase to 3% and adds Nasdaq 4%. European markets remain under pleasure, increasing 1% in the case of Euro Stokes 50.
Since last April, the tariff barrage has disrupted the global economy and created enormous uncertainty in the economic markets. The declared negotiation was better than thinking and moved away from thinking of financial forces, which considered that the recession was inevitable only a few weeks ago. In this new scenario, investors return the view to US assets and increase their appetite for danger: they bet on the bag and oil, leave debt and gold.
In addition to the technical companies, they also increase automobile and steel, but CE shadow companies fall, after declaring the decree to severely reduce the price of Donald Trump drugs.
After the meetings in Switzerland over the weekend, Washington and Beijing tariffs will be reduced by over 100 points: Asian giant Asian giant falls 125% to 10% rates on US products and reduces the US from 145% to 30% to Chinese goods. “Trump has reduced his tariffs faster than anyone has haven. The rates on China will be reduced to a temporary level,” said AFS Group Research Director Reuters Orne Pelimezas.
On the European stock exchanges, DAX looms the initial increase and records 0.7%, adding Paris CAC 1.5%. Something behind Ibex, which develops 0.6%. Motor companies such as Steellantis (Puigot, Citroen and Opel owner), which earn more than 7%and Mercedes -Benz increases by 5.5%. Danish Navira Mersk adds 12% by clearing international trade instructions. And the technology, the dilemma of the tariff has been fined for the worst moments of crisis, which also signs up for growth. In Europe, the chips Infinionon company is 6% and ASML Holdings, 4.5%. 5%of the United States, Nvidia, Tesla and apples. “This news is much better than expected,” said BNY Mellon Entity Gross strategist and currency Jeffrey Yu. “We suspect that the market will forget April, but the worst scenes are already related to the past and people will invest in consequently,” he said.
On the opposite side, there are CE shades. Danish Novo Nordisk (Ozempic Medicine manufacturer used for weight loss) 5% and Sanofi French 6% remains, after the announcement of the Trump executive orders to reduce the prices of recipe medication between 30% and 80%. In the US, Eli Lily comes 5%.
Ibex moderates growth
On the Spanish Stock Exchange, the ibex is exposed to volatility session, the weight of fuel companies such as Essa and Iberdrola 2%. On the positive side, Arsormittal Alara also adds more than 5%, and also adds another 5%of the IAG Air Group (Owner of Iberia and British AirYes). The Spanish index ended last week at 2008.
“While the D -Escallation benefits the two economies of the trade war, the deal is likely to take into account China a certain success,” Lin Song said. “Reducing tariffs on China is sufficient to restore regular trade.”
Some analysts, however, are warning the lack of details in the principle of the agreement between the White House and Beijing and, although it is progressing, it is not an accurate agreement. In addition, any relief can soon be realized for data that shows slowdown in the US economy, not only turns in discussions soon. Sheldon McDonald’s investment director of Marlborough, who thought it was “very quickly” to expect an easy problem solving. He said that although the US carried out 30% of tariffs on China, it would be “negative for growth” and “the fear of depression is not yet clarified”.
The reaction to the tariff interval can feel in fixed income, currencies and other assets such as raw materials. Investors are somewhat risky to harm safe assets such as debt in their portfolios (with more actions). Bond prices fall and increase profitability (ie, the profit of the title holders, which inverts the price). 10 -year German Bond performance increases seven basic points, which are 2.6%, maximum in a month. The interest paid by the US bonus is also 10 years at the UPS seven points. “Most organizational investors with liquidity try to express variable income” which is fined for fixed income, which explains to Reuters Karen Georges to the ECOFI variable income fund manager.
The perspectives of cooling in tensions Advantage of US currencyDonald Trump has been very punished since the launch of his commercial barrage, often adapted in a chaotic manner. Today, the dollar is not only before the euro (not just before (every European currency has been converted to 11 1.11, a minimum month), but also against other currencies that are considered a shelter like Japanese Yen and Swiss Franco. “The general scenario is not so bad, but we still have enough uncertainty about the impact of global growth and their impact on global growth and the policy of the central banks,” said Head Jane Fole.
In it Raw material. The gold price drops more than 3%, for OUNS to $ 3,231, and a historical maximum is less than $ 3,500.
On the other hand, oil prices go ahead, as negotiations reduce the risk of an important economic downturn. He is Petrolio Brent It grows more than 2%, and each barrel exceeds $ 65.
Analysts are careful though. The McSrield Investment Agency represents “doubts” about the possibilities of consolidating the situation that is close to what the opening of this year (when the US effective rate is around 3%), but at the moment, hopeful signs that have the opportunity of new trade agreements with other countries this week, can maintain the support of dangerous assets and dollars.
With regard to the perspective of the Mo0nety policy, operators will reduce their bet on the range of sales rates this year. For the Federal Reserve, the expectations of an incision will be delayed from July to September. Anz analysts hope that “it will not be until the IPC data publication in the US in the US,” June is very fast to continue our opinion that the Fed varieties will be higher in the third quarter, and in September. “
Uploads in Asia
The major Chinese bags have recorded profits against parenting in tensions. The Shanghai index increased by 0.8% and Hong Seng’s Hong Seng’s 3% of the Hong Kong Stock Exchange.
In addition to trade tensions, the campaign to demonstrate business results continues its course, although this Monday with fewer instructions. Today, it has touched the turn of Almiral, which increased the advantages three times and increases more than 8%. In Italy, the UniCredit Bank announced the result of the first quarter and its action increases by 2.5%. Analysis of the link management, Juan Jose Fernandez Figaries, explained that the business results are coming to Wall Street, and explained that “in general, there are more positive than the initial Than talent.”
Scholarship – Foreign exchange – Debt – Interest rates – Raw materials
