MILANO – 2.00 pm The stock exchanges resume the positive tone on the belief that Washington is close to securing a stimulus plan of around $ 900 billion, the result of the more collaborative climate between Democrats and Republicans and the belief in the future Biden administration that there there is time to waste waiting for the complete transition to the cockpit. Investors are also supported by the announcement of Ursula von der Leyen, President of the European Commission, of the go-ahead at EU vaccination against Covid starting December 27th.
The Federal Reserve – which considers a fiscal stimulus plan “essential” – last night he did his part. The US central bank has vowed to continue to provide its support to fight the recession, although the outlook for the next year has improved after the first coronavirus vaccine has been administered. Confirming the commitment to keep the reference interest rate close to zero until the economic recovery is complete, the US central bank has announced that the bond purchase program will be carried out at current values (120 billion dollars per month) until when there will be no “substantial” progress on the employment and inflation front. He then retouched his message by tying it in two ways to the concrete economic and labor market recovery. A condition that, in the expectations of the markets, was already taken for granted, but which is now being put down in black and white. “We are honestly not planning anything or discussing what we might do in the future,” Governor Powell said at a press conference assuring that “we are ready to provide support as long as needed”. Today’s labor data, on the other hand, indicates that support is still welcome: the number of
applications for US unemployment benefits, which jumped to 885,000 from 862,000 the previous week (revised up from the initial 853,000 units), disappointed analysts’ expectations who expected a drop to 800,000.
The European markets thus move upwards, Milano rises by 0.5% with Pirelli at the top of the Ftse Mib and FCA well in tune after i Acea data on registrations. London, with the pound rising after improving the Brexit outlook, it is unchanged. Frankfurt earns .07% e Paris what 0.35%.
The superstar of these hours, however, is confirmed Bitcoin. The cryptocurrency queen continued her rally by breaking the $ 23,000 threshold. Only yesterday it had exceeded $ 20,000 for the first time, but the drive to seek alternative assets is still fueling the race. According to the Bloomberg Galaxy Crypto Index, the value has more than tripled this year. A rally also due to the announcement of Paypal which, in October, said it was ready to accept payments in cryptocurrencies, Bitcoin in the lead. Initially, the option will only be allowed to US users. It means that from 2021 Paypal alongside the 24 currencies accepted today will also admit Bitcoin, Bitcoin cash, Ether and Litecoin. “The use of Bitcoin by traditional investors is only just beginning,” warn analysts at the JPMorgan bank. According to crypto-enthusiastic analysts, Bitcoin would offer a more viable alternative than gold to the dollar, which is currently evolving at very low levels due to central banks’ monetary easing measures, adopted to revive the economy in the face of the Covid crisis. -19. Retail would also play a role in this growth, giving substance to the movement. But given the past of vertiginous ups and downs, even in this case – remember Bloomberg – there are skeptics who see behind the rally only a speculative move that risks ending in yet another sharp decline.
Returning to traditional exchanges, the hope of an agreement in the US Congress supported the exchanges in the morning a Tokyo (+0,18%), Hong Kong (+ 0.8% at the end) e Shanghai (+ 1.1%). Weak instead Alone (-0,02%).
The spread between BTP and Bund it opens stable at 107 points with the Italian ten-year yield at 0.51%. L’euro it is still up against the dollar at 1.2231, exceeding the 1.2187 level recorded yesterday at the close in New York. The yen against the single currency remained stable at 126.31. As mentioned, the race does not stop GBP which also exceeded $ 1.36, at the top for two and a half years. The exchange rate between the British currency and the greenback has pushed to a maximum of 1.3622 and is now in the 1.3615 zone. The exchange rate on the euro, on the other hand, moves at around 89.85 pence, on the highs of a week. Investors seem optimistic that London and the European Commission will be able to reach an agreement on Brexit at the last minute. Yesterday, the European negotiator Michel Barnier spoke of “good progress” in the negotiations, rekindling hope in reaching a compromise precisely on the yarn.
Among the raw materials, the Petroleum it is up to 48.39 dollars for the WTI barrel and 51.63 dollars for the Brent
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