Table of Contents:
Overview of European markets
The European stock exchanges showed low movements pending the conclusion of the Federal Reserve meeting. At Piazza Affari, the Ftse Mib closed up 0.5%, reaching 34,400 points. Among the outstanding securities, Stm recorded an increase of 2.5%, followed by Bper with 1.4% and Unicredit with 1.3%.
On the contrary, Moncler fell by 1.6%, as did Generali and Hera, both down 1.2%.
Waiting for the Federal Reserve
With the focus on the Federal Reserve, analysts expect a possible cut in interest rates by 25 basis points. This event could significantly influence the markets, with particular interest in updating the dot plot, the graph that shows officials’ projections regarding the cost of money.
President Powell‘s statements could provide further guidance on future monetary policies, especially for 2025.
Focus on international central banks
Tomorrow, the focus will shift to the Bank of England and the Bank of Japan. The British institution is expected to keep the cost of money unchanged, considering recent inflation figures that have exceeded expectations. On the other hand, the Japanese central bank is unlikely to decide to raise rates, while maintaining an accommodative monetary policy
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Bond markets and commodities
In the bond market, the Btp-Bund spread is around 116 basis points, with the Italian 10-year yield at 3.4% and that of the German benchmark at 2.24%. As far as commodities are concerned, Brent oil has exceeded 74 dollars per barrel, while gold has seen a decline, slipping below 2,640 dollars an ounce
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Trend of currencies and cryptocurrencies
In the currency market, the euro/dollar exchange rate slipped to 1.048, while the dollar/yen fluctuated around 154, waiting for the BoJ meeting on Thursday. Finally, in the cryptocurrency sector, Bitcoin stands at close to $104,000, showing growing interest among investors
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