Powell boosts AEX in record series | Financial

The AEX index closed 0.9% higher at 787.04 points. Over a week, the index posted a 2% gain. The AMX plus 0.3% to 1099.98 points.

The stock exchanges in London (+0.3%), Paris (+0.2%) and Frankfurt (+0.2%) turned from a small loss to a gain.

From US stock exchanges Prices in response to Powell’s speech rose around 0.6% to 1.1% for the Nasdaq, after losses of more than 0.5% on Thursday.

The dollar index falls 0.3%, the interest rate for the 10-year US government bond falls slightly.

‘Hint from Powell expected’

“Markets are benefiting now that it is clear that Federal Reserve support will be phased out later this year, but a rate hike won’t come until sometime next year. That is good for equities. Powell was also optimistic about the capacity of the economy, which must be able to handle the effect of the delta variant,” says asset manager Renco van Schie (Valuedge). The umbrella organization of central banks is not yet phasing out the asset purchase program, but may do so this fall.

“Unemployment is declining in the US, and the Fed is indicating that any wage and price increases that could come then will be closely monitored for the timing of interest payments. Intervening too early when there is more inflation is not good, he says. It also gives me confidence that there is consensus within the Federal Reserve and that Powell has confirmed a middle position. The fact that he clearly decouples the rate hike from the phasing out of bond purchases is also a strong point for investors.”

Minutes from the US central bank, in which frequent mention was made of this so-called ‘tapering’, caused a short-term shock wave in the financial markets two weeks ago. Since then, however, prices have recovered and the stock markets have reached new records.

The Fed is buying $120 billion in loans each month to counter the negative impact of the coronavirus pandemic. However, with the economic recovery underway, local Fed presidents Esther George of Kansas and James Bullard of St. Louis believe it is time to phase out the stimulus measures to prevent the economy from overheating.

‘phasing out’

Chip machine manufacturer closes in the AEX ASMI as the front runner thanks to a plus of 3.9%. Also do at the chip funds ASML (+ 2.2%) in Iron (+2.2%) good business.

Steel manufacturer ArcelorMittal advances 2.8% at the closing bell.

Shell gains 1.5%, retail property fund Unibail-Rodamco-Westfield takes 1.5% price gain.

Just Eat Takeaway (-7.5%) is the biggest lag behind the main funds. Investors are reacting negatively to New York’s decision to make permanent the restrictions on fees that food delivery companies can charge city restaurants, up to 15%. The owner of Thuisbezorgd.nl is active in America with the recently acquired Grubhub. According to Just Eat CEO Jitse Groen, New York’s decision is ‘unconstitutional’. According to Groen, the decision he is objecting to will lead to higher prices for customers. Ultimately, this will lead to fewer orders for restaurants and meal delivery companies, he says.

Insurer ASR is sold even after a profit streak (-0.6%).

With the medium-sized funds late Elves 6.1% lie. The charging station manufacturer already delivered 5.7% on Thursday towards the half-year figures that appeared today. Alfen CEO Marco Roeleveld spoke of a good first half of the year and an acceleration of turnover growth in the second quarter. Roeleveld warned about stock problems in the second half of the year.

Biotechfonds Galapagos loses 2.3%.

Eurocommercial Properties rises 0.7%. The retail property fund posted a profit of €17.8 million in the past six months.

AMG is up 2%, gaining 13.5% on a weekly basis. The metal manufacturer has received a buy recommendation from investment bank Citi, including a price target of €38.50.

Wins in the small cap funds Sif Holding 2.6%. Sif has significantly increased its turnover in the first six months of this year. The company that makes foundations on which windmills are anchored in the seabed also saw the profit made per foundation grow. Sif believes that the market for offshore wind turbines will only continue to grow in the coming years and expects to be able to achieve higher margins despite the fact that competition is also increasing. The turnover of Sif went to €249.3 million compared to €151.2 million a year earlier. Below the line, €7.2 million remained.

The locally listed THING (-1.1%) already reported results after trading on Thursday. The investor is counting on this year a ‘significantly’ higher profit than last year. HAL recently sold its majority stake in the Dutch optical company GrandVision, known for the Pearle chain. The deal will generate a book profit of approximately €3.5 billion for HAL.

Infrastructure company Boskalis (+0.5%) has been awarded the contract with Mobilis and Van Gelder for the construction of the Amsterdam-Zuid station.

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