said by blandine
paris (reuters) – european stock markets were again closed in negative territory on tuesday, the sharp increase of the euro has fuelled correction on indices of actions in the region, falling in the lowest since the end of september.
epargnée until now, wall street is to turn the taken profits, fed by the doubts surrounding the adoption of the tax reform announced by donald trump.
the cac 40 in paris, was completed in fall of 0.49% to 5.315,58 points, with its seventh meeting of consecutive decline, and the german dax dropped 0.31%. london, well, footsie, insensitive to variations of the euro, was almost unchanged (- 0.1%).
the euro stoxx 50 index has dropped 51%, the ftseurofirst 300 was 0.66% and the stoxx 600 has lost 59%.
the new york stock exchange is in the red, the dow jones industrial average yielding 0.22%.
the meeting was marked by a strong rebound in the euro, which is 0.9% against the dollar, the highest since 11770, on 26 october, the date of the last meeting of the monetary policy of the european central bank (ecb).
this trend is explained by the strong growth figures published for the euro area, and especially in germany.
the crossing of a threshold on the euro / dollar exchange rate (“head – shoulder, shoulder) was also used to accelerate the rise of the single currency, according to many analysts. the euro was also 0.6 per cent against the british pound.
the recovery of long-term inflation expectations in the euro area has been the past few days, the increase in the single currency as well as bond yields in europe. these, however, did not react on tuesday, affected by lower treasuries americans with the uncertainties surrounding the us tax reform.
investors are still waiting to find out more about the attitude of the congress with regard to the proposed tax reform, the administration’s, one of the main hopes for many investors, the house of representatives to vote this week on the first version of the text, which is different from that of the senate.
the core collapse
the interventions of several central bankers on tuesday at a symposium on the communication of the central banks have not moved the market operators.
the release of higher than expected prices in the united states has been very briefly respond to the dollar.
china’s economic indicators are below expectations, however, have affected the values for raw materials and energy.
the stoxx 600 index of core resources was 2.73% and that of oil and gas of 1.59%.
oil prices fell tuesday, with more than 2%, while the international energy agency (iea) has warned that global oil demand is expected to grow less rapidly than expected in the coming months due to warmer temperatures, which could reduce surpluses on the market in the first half of 2007.
the values, altice fell again to 13.17%, after the reduction by financial intermediaries in their price target, reflecting again the loss of market confidence in the giant cable, telecommunications and the media while still heavily in debt.
on the other hand, there was 5.11% after having raised its forecast on the basis of the semi solid, for the benefit of the whole sector in europe (+ 3.3%).
vivendi’s paris, and 4.12%, ahead of the cac 40, after the recovery of the recommendation of jpmorgan ‘surpondérer.
(edited by wilfrid exbrayat)
copyright & copy;, thomson reuters
Translated by forexguides.info Team