Beeld: Deutsche Boerse AG
(ABM FN-Dow Jones) European stock markets are heading for a lower open on Wednesday ahead of the purchasing managers for the services sector and the minutes of the Federal Reserve.
IG forecasts an opening loss of 24 points for the German DAX, a minus of 19 points for the French CAC 40 and a drop of 4 points for the UK FTSE 100.
European stock markets closed divided on Tuesday, after a quiet trading day that had to do without Wall Street due to the Independence Day celebrations.
The stock market was waiting for new impulses, which could come from the minutes of the last meeting of the Federal Reserve on Wednesday evening and the US jobs report on Friday.
Frank Vranken of Bank Edmond de Rothschild pointed on Tuesday to the increasingly strong inversion of the yield curve, which is often a strong signal of an approaching recession. Nevertheless, this does not prevent the US stock markets from a strong start to the month. July has been one of the best months for equities over the past eight years. Last year, the S&P 500 index even rose 9.1 percent in July, before falling again in September.
There was economic news from Germany, where exports unexpectedly fell, while imports increased. The American agenda was empty.
Company news
Adidas finished 1 percent higher. Berenberg is counting on a multi-year recovery, helped by the popularity of Samba shoes and better margins. Analysts from Berenberg see the margin increase to 7.5 percent in 2024. The price target rose from 180 to 220 euros.
H&M posted a stronger-than-expected EBIT result, despite weak sales growth in local currency. That points to strong cost savings and good progress towards the 10 percent margin target by 2024, according to UBS analysts. The stock closed slightly higher.
China’s export restrictions on gallium and germanium, two minerals critical to semiconductor manufacturing, are disruptive but manageable for the chip industry, Citigroup believes. Infineon and STMicroelectronics depend on these minerals for a few products that account for no more than a few percent of sales growth, the analysts note. Both stocks closed slightly higher.
Casino has received two proposals to strengthen its capital position, from EP Global Commerce and Fimalac, and from 3F Holding. The stock rose 16 percent before trading was suspended.
Payment company Worldline won 3.5 percent in Paris. Train manufacturer Alstom closed 3 percent lower in Paris.
In Frankfurt, real estate giant Vonovia won approximately 4.5 percent. Unibail Rodamco was also a winner in Paris, with a plus of 3 percent. Siemens Energy saw the share price fall by more than one percent.
Financials were popular in Amsterdam. Aegon closed almost 2 percent higher, just like ASR. The acquisition of Aegon Nederland by ASR has been completed and Aegon can now start with a share buyback for one and a half billion euros.
Euro STOXX 50 4.391,09 (-0,16%)
STOXX Europe 600 461,29 (+0,07%)
DAX 16.039,17 (-0,26%)
CAC 40 7.369,93 (-0,23X%)
FTSE 100 7.519,72 (-0,10%)
SMI 11.217,34 (-0,02%)
AEX 778.72 (+0.29%)
BEL 20 3.558,79 (+0,46%)
FTSE MIB 28.386,88 (-0,21%)
IBEX 35 9.588,40 (-0,58%)
AMERICAN SHARES
Wall Street opens flat to slightly higher on Wednesday, according to US futures.
US stock markets remained closed on Tuesday. Futures on the Dow Jones index and Nasdaq moved little Tuesday night, while markets on Wall Street were closed for Independence Day celebrations.
Shares of Chinese metalmakers rose on Tuesday after Beijing on Monday imposed export restrictions on two minerals used in high-quality microchips in response to US export restrictions. The minerals, gallium and germanium, are crucial for the production of semiconductors, missile systems and solar cells. Chinese company Yunnan Chihong Zinc & Germanium rose 6 percent on Tuesday.
Looking ahead, the minutes of the Federal Reserve will be released on Wednesday. These provide insight into the thinking of central bankers at the time of the interest rate decision last month. The US jobs report for June will follow on Friday. Economists expect 240,000 new jobs, compared to 339,000 a month earlier.
ASIA
Asian stock markets were broadly lower on Wednesday.
Data from S&P Global showed this morning that growth in both the Japanese and Chinese services sectors has slowed.
Nikkei 225 33.282,88 (-0,4%)
Shanghai Composite 3.228,68 (-0,5%)
Hang Seng 19.147,37 (-1,4%)
VALUE
The euro/dollar was quoted at 1.0871. On Tuesday night, the currency pair was still moving at 1.0888.
USD/JPY Yen 144,54
EUR/USD Euro 1,0871
EUR/JPY Yen 157,14
MACRO-AGENDA:
01:30 Purchasing managers index services – June final. (jap)
03:45 Purchasing managers index services Caixin – June (Chi)
09:15 Services Purchasing Managers Index – June (Spa)
09:45 Purchasing managers index services – June (Ita)
09:50 Purchasing managers index services – June def. (fra)
09:55 Purchasing managers index services – June final. (Germany)
10:00 Purchasing Managers Index services – June final. (EUR)
10:30 Purchasing managers index services – June final. (UK)
11:00 Producer prices – May (eur)
1:00 PM Mortgage Applications – Weekly (US)
2:15 PM ADP Jobs Report – June (US)
4:00 PM Factory Orders – May (US)
20:00 Federal Reserve – Notulen (VS)
COMPANY NEWS:
– No agenda items
Bron: ABM Financial News
The editors of follow from Beursplein 5 ABM Financial News developments on the stock exchanges, and the Amsterdam stock exchange in particular, closely. The information in this column is not intended as professional investment advice or as a recommendation to make certain investments.
2023-07-05 05:05:00
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