In the morning, shortly after the start of trading on the stock markets, while the stock exchanges were oriented upwards, unexpected news arrived. At around 10:00 in Europe, a bombshell suddenly hits the stock exchanges and investors react like this. At the news, operators act simultaneously and prices begin to run in one direction. But what happened on the markets today and what news has had a decisive impact on the stock exchanges?
Before analyzing the content of the news, let’s see the effect that this event had on the stock markets. The German stock market closed down 1.1%, Paris lost 0.9%, London limited the damage to 0.2%.
Even for Piazza Affari it was a difficult session. The Ftse Mib (INDEX:FTSEMIB) closed down 0.9% to 25,077 points. The Milan Stock Exchange has followed the same pattern that has characterized price movements for some time. Our Analysts have already talked about it in this article: “Piazza Affari does not heat up but a hot summer is preparing for this sector“. Even today the index got off to a good start but then immediately started losing. Fortunately, prices stopped at the 25,000 point support.
A bombshell suddenly hits the stock exchanges and investors react like this
Why is the 25,000 point threshold so crucial for the Ftse Mib? Because if prices fall below this threshold they can plummet. That’s why we titled an article: “This is the scenario that must not occur today or the stock market risks“. Fortunately, the support held up today.
Prices have put pressure on the support area twice. The first time around 13:00, but the attempt was rejected. The second time at the end of the session, with prices falling also due to the weakening of Wall Street.
But what is the reason that has created disorientation on the markets and prompted operators to sell? At 10:00 in the morning in Europe the news came out that the Ministry of Health of India has identified a new variant of Covid. Experts have dubbed this variant Delta Plus, because it is a further variant of the Indian one (which the World Health Organization has renamed the Delta). What alarmed the markets were the words used by the Indian institution, which defined the new variant as a strain of concern. Words that prompted traders to sell.
Deepening
This the multidays analysis and the analysis of international markets by the ProiezionidiBorsa Research Department.
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(We remind you to carefully read the warnings regarding this article, which can be consulted who”)
