MILANO – The calming effect of Federal Reserve it only works halfway, then the European lists close down, also snubbing the very positive data on the expectations of recovery in the Old Continent. The president of the American central bank has returned to assure that inflation will be transitory and that patience will be the virtue of the Fed, which is in no hurry to raise the cost of money to curb the price rush. “We will not raise rates in advance because we fear a possible rise in inflation” he said Jerome Powell to the US Chamber.
The European exchanges are as mentioned in red at the end of the day: London yields 0.18%, to Milano the Ftse Mib index slipped by 0.94%, Frankfurt wears the black jersey at -1.12% while Paris lime 0.92%. Wall Street it is weak: at the close of European trade the Dow Jones fell by 0.05% while the S & P500 added 0.07% and the Nasdaq 0.2%. There Tokyo Stock Exchange closed flat this morning, after the Nasdaq record on the eve of the day: the Nikkei index fell by 0.03% to 28,874 points. Strong upside for Hong Kong, where the technological sector stands out above all: + 2%.
The euro is gaining ground against the dollar at 1.1950 and also against the yen at around 132.35. At 110.65 the exchange rate between the greenback and the Japanese currency. In recovery the Bitcoin, which yesterday fell well below 30,000 dollars, burning all the gains made this year (in mid-April it was close to 65,000 dollars): the queen of cryptocurrencies, which is paying the Chinese squeeze on mining, has returned to breathe by climbing up to almost 34 thousand dollars. Closing slightly up at 107 basis points for the spread between BTP and German Bund.
From the macroeconomic agenda, the Pmi indices, those who anticipate the economic trend thanks to interviews with the purchasing managers of the companies. The composite index of the Eurozone – which sums up the manufacturing and services sectors – rose to 59.2 points in June, at the top since 2006 and well above the 50-point threshold which marks the demarcation between contraction and economic expansion.
The Petroleum extends gains to the highs of more than two years after the above-expected decline in US weekly inventories. In particular, WTI rose 1.30% to 73.80 dollars a barrel, while Brent rose 1.26% to 75.75 dollars.