Table of Contents:
The decline in the European stock market
The European stock market recorded a negative ending, with the Ftse Mib closing down 1.2% to 34,502 points. Among the most affected stocks, Campari fell by 18.5% due to lower than expected results in terms of revenues and adjusted Ebit. Amplifon also saw a decrease of 4.6%, following the release of the quarterly accounts, while Stm and Prysmian recorded a decrease of 3.6%.
However, some stocks such as Leonardo and Pirelli showed positive performance, with an increase of 1.3% and 0.6% respectively
.
Macroeconomic data and eurozone growth
Despite the market decline, there have been positive signs from the macroeconomic front. Eurozone GDP expanded by 0.4%, with Germany avoiding an almost certain recession. However, Italy disappointed with a stagnant performance in the third quarter. German and Spanish inflation has exceeded expectations, creating expectations for the data on consumer prices in France, Italy and the eurozone, scheduled for tomorrow
.
Focus on the United States and on quarterly reports
In the United States, GDP registered a solid +2.8% annualized in the third quarter, supported by consumption. The ADP report showed higher than estimated growth in new jobs in the private sector, pending Friday’s job report. The quarterly reports are attracting the attention of investors, with results above expectations from Alphabet and expected for the reports of Meta, Microsoft, Amazon and Apple. Google’s parent company has provided assurances on the artificial intelligence front, contributing to a climate
of optimism.
Bond markets and commodities
In the bond market, the Btp-Bund spread widened to more than 124 basis points, with the Italian 10-year period rising to 3.61% and the German benchmark to 2.37%. Among commodities, Brent oil exceeded 72 dollars per barrel, while gold reached 2,785 dollars an ounce. Bitcoin remains above $72,000, backed by inflows in ETFs and speculation about next week’s US elections.
Forex trend
In the currency market, the euro/dollar exchange rate appreciated at 1.086, while the dollar/yen remains in the 153 area, waiting for the Bank of Japan meeting scheduled for tomorrow. This environment of uncertainty and opportunity continues to influence the decisions of investors, who are preparing to navigate a changing economic landscape
.
