(Il Sole 24 Ore Radiocor) – They are weak European stock exchanges in the aftermath of the Federal Reserve’s decision on rates and on a day in which investors’ attention is always focused on central banks. As expected, the Fed raised the cost of borrowing by 25 basis points to 4.75%-5%, the highest level since 2007. The Swiss Central Bank also raised the cost of borrowing by 50 basis points. at 1.5% while the Bank of England raised rates by 25 basis points to 4.25% after UK inflation data was still very high, while the norwegian central bank a raised its key interest rate by 0.25 point to 3%. The central banks therefore confirm the course, despite the shocks to the banking system, and continue the fight against inflation. They move thus in red the FTSE MIB of Milan, the CAC 40 of Paris and the DAX 30 of Frankfurt. Same fate for theIBEX 35 of Madrid, the FT-SE 100 of London andAEX in Amsterdam.
Futures up. Subsidies show labor market strength
Futures rose in premarket on Wall Street, also on the back of jobless claims data, which showed a still strong job market. In the United States, the number of first-time jobless applicants fell by 1,000 to 191,000, versus expectations for 198,000. Yesterday, sitting down sharply on Wall Street after the Federal Reserve decided to raise interest rates by 25 basis points to 4.75%-5%, the highest level since 2007, while recognizing that the turmoil in the banking system could slow down the already fragile US economy. For this reason, said Fed chairman Jerome Powell, the hypothesis of keeping interest rates unchanged had also been considered. Bankers predict that there will be just one more hike in 2023, but the markets were worried by Powell’s words, who declared that a rate cut this year is “unlikely”.
Then, it was the words of the who had an impact Treasury Secretary Janet Yellen – engaged at the same time before a Senate commission – which denied the hypothesis of extending the federal guarantee to all bank deposits, without limits. “It’s not something we’ve considered,” he said, after rumors circulated that the guarantee could be extended to all banks to deposits over $250,000, as has been done with Silicon Valley Bank and Signature Bank. closed in recent days
Inwit runs in Piazza Affari
Looking at Piazza Affari, among the starting titles of Inwit, on the press rumors regarding the fact that the French fund Ardian is probing with JP Morgan the possibility of proceeding with a private takeover operation. Opposite sign for Italgas. As reported by Il Sole 24 Ore, Snam would have reached an agreement to amend the Italgas control syndicate agreement between Snam itself and Cdp Reti in order to allow some specific hypotheses for the transfer of the Italgas share held by Snam. Out of the main segment, I leap by Remediationafter the agreement for the sale of Santa Giulia.
Dollar under pressure, oil weak
On the foreign exchange market, the euro strengthens with the greenback still suffering. The US dollar hit a new seven-week low during early trading on Thursday as traders lowered expectations about the pace and scale of the Federal Reserve’s rate-hiking cycle. who note the Fed’s “more dovish” tone than on previous occasions. The Fed “is afraid of contributing to worsening the crisis in the banking sector by risking destabilizing the financial system, even if the fight against inflation becomes more complicated,” they underline.
