Closing of European stock exchanges
The Old Continent stock exchanges closed the day in a mixed way, with the Ftse Mib in Piazza Affari recording an increase of 0.5%, reaching 35,819 points. Among the titles in evidence, Moncler shone with an increase of 6.3%, thanks to higher-than-expected sales by Richemont. Brunello Cucinelli also performed well, with an increase of 2.2%, while Nexi rebounded with 2.6% growth.
However, not all the news was positive: Iveco lost 1.9%, Diasorin 1.1%, Pirelli 1% and Stellantis 1%.
The Fed’s statements and the economic data
Federal Reserve member Christopher Waller has opened up the possibility of rate cuts before June, provided that inflation data continues to show signs of improvement. This statement has aroused interest among investors, who are eagerly awaiting upcoming economic developments. Meanwhile, the speech of the next US Secretary of the Treasury, Bessent, highlighted the importance of tax cuts and maintaining the dollar as a world reserve, crucial elements for the economic health of the
United States.
Analysis of retail sales data
Recent retail sales data showed growth of 0.4%, lower than expected by 0.6% and at a four-month low. The new claims for unemployment benefits, amounting to 217 thousand, have exceeded expectations, suggesting a certain fragility in the labor market. The minutes of the European Central Bank showed a propensity for further rate cuts, with some members in favor of a reduction of 50 basis points at the last meeting in December
.
Bond and commodity market trends
In the bond market, the 10-year US yield fell to 4.61%, while the Btp-Bund spread contracted to 110 basis points, with the Italian stock at 3.65% and the German one at 2.55%. As far as raw materials are concerned, Brent oil has reversed course, falling below 81 dollars per barrel, with particular attention to sanctions against Russia that could be eased. Gold, on the other hand, saw an increase, reaching 2,718 dollars an ounce, thanks to changing interest rate expectations that have fueled
demand for safe haven assets.
Situation on the currency market and cryptocurrencies
In the currency market, the euro/dollar remained around 1.03, while the dollar/yen slipped to 155.3, influenced by the Bank of Japan’s expectations of rate hikes. Finally, in the cryptocurrency world, Bitcoin continues to flirt with the $100,000 threshold, attracting the attention of investors and analysts
.