Home » Business » The stock exchanges of today, March 7, 2022. EU lists in red but limit losses with the resumption of talks. Usa study Russian import cut, oil flies. Flare-up of the gas

The stock exchanges of today, March 7, 2022. EU lists in red but limit losses with the resumption of talks. Usa study Russian import cut, oil flies. Flare-up of the gas

MILANO – European markets close down but limit losses after a sharply lower opening that hinted at a rerun of the black friday which cost 400 billion of capitalization to the main EU stock exchanges. The very strong initial sales have slowed after they are the talks have been resumed between Russia and Ukraine, but with a clash on the humanitarian corridors. Milano, which on Friday had lost 6.2%, returned to -6% in the early morning. Then a recovery started, reaching positive in the early afternoon, then Piazza Affari returned to decline with the weakness of Wall Street to close down by 1.36%. The sales mainly affected the banks and Stellantis. Tim is recovering with the launch of a roadshow with investors by ad Labriola. Leonardo also goes up, betting on an increase in military spending. In general, the oil sector was positive due to the appreciation of raw materials. The other European stock exchanges were also negative: Frankfurt -1,98%, Paris -1,31%, London -0.4%. At the close of the European stock exchanges, Wall Street widens the red: the Dow Jones falls 1.2%, the S & P500 drops 1.4% and the Nasdaq 1.5%.

The escalation of war in Ukraine, where bombings are increasingly targeting the civilian population, is leading the allies to evaluate tougher interventions from the point of view of sanctions. According to international media, the US is pushing (with or without allies) to adopt a total blockade on the import of Russian oil. An option that has screened the Crude oil prices rise, as well as gas prices at the European hub in Amsterdam.

The latter updated its all-time high by igniting up to the new record of 345 euros per MWH, only to then slow down to the 230 euros area on the Amsterdam market. In the night the Brent, the European quality of oil, almost touched 140 dollars a barrel in Asia. Also in this case, the rises have returned somewhat and at the end of EU trade, Brent marks $ 125 while the American WTI (which has seen its highest levels since 2008) is positioned just below $ 120.

There remains, therefore, a phase of enormous volatility due to the upheaval of the global energy market: “One of the greatest uncertainties is how much and how the escalation of the economic war between Russia and the West will impact the flow of oil and gas,” he said. Bloomberg Victor Shum, vice president of IHS Markit, S&P Global. “NATO members currently buy more than half of the 7.5 million barrels per day of crude oil and refined products that Russia exports and stocks are already low in the US and at lows in OECD countries in Europe and Asia,” he added. . “The multifaceted dimensions of this war will lead to unexpected outcomes.” As Deutsche Bank recalls in its opening note of the day, the tension on oil also derives from the fact that over the weekend the hopes of accelerating the nuclear deal with theIranwhich would bring a major producer back to flow its crude oil into the global market.

A taste of investor concern came early in the morning with the Tokyo Stock Exchange which concluded the first session of the week in a sustained decline, with the reference index at its lowest in 16 months: the Nikkei lost 2.94%, to 25,221.41, with a loss of 764 points. The Chinese stock exchanges also closed the session with heavy losses: the Composite index of Shanghai lost 2.17%, Shenzhen 2.70%.

On the currency front, the recent safe haven rush is further strengthening the dollar. The euro closed the European session at 1.0861 dollars, against 1.0893 dollars at the opening, after falling to 1.0806. Euro / yena at 125.40 and dollar / yen at 115.46. The single currency is practically on par with the Swiss franc, which has not happened since 2015. The ruble touches new historical lows: 140 rubles are now needed for one dollar against around 70 at the end of the year, while 152 rubles are needed for one euro. Putin signed a decree which allows creditors of foreign currency bonds to be repaid in rubles: a move that raises the cost of Russian debt bankruptcy protection. Second Bloomberg, citing data from Ice Data services, the probabilities of default implicit in the cost of debt insurance, the CDS, hit a record high of 80%. CDS that insure $ 10 million of Russian debt for five years cost $ 5.8 million in initial commission, plus $ 100,000 a year.

The same desire for safe investments drives up the gold ingot with immediate delivery: after hitting 2,000 dollars an ounce, at the close of European trade it marks 1,982 dollars an ounce. However, other raw materials are in tension: palladium and copper have recorded new records, the nickel it records a rise of 40% and the highest price in 15 years, over 40,000 dollars a ton, and aluminum remains above 4,000 dollars a ton. New record for the price of grain which reaches 430 euros per ton on the Paris Stock Exchange with a + 9% compared to Friday.

Among the macroeconomic data of the day, it should be noted that orders to factories in Germany they rose by 1.8% in January compared to the previous month and against an expected + 1%. This was announced by the German Federal Statistical Office Destatis. On an annual basis, the increase is equal to 7.3%. China experienced a trade surplus of 115.95 billion dollars in January-February, up on the 99.46 billion of the same period of 2021 and on the 99.5 billion estimated by analysts. According to the National Statistics Office, exports recorded double-digit progress for the sixteenth month in a row (+ 16.3% per year against the expected + 15% and + 20.9% in December 2021) at 544. , 7 billion, while imports slowed down to + 15.5% (compared to the estimated + 16.5% and + 19.5% in December), 428.75 billion.

It spread between BTPs and the German Bund it stood at 160 basis points, with little movement, with the yield of the Italian ten-year at 1.58% on the secondary market.

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