A small move has opened up for European stock exchanges, as investors are always intent on assessing the possibility of reducing monetary stimulus in exchange for the post-pandemic economic recovery.
In Milan, the Ftse Mib advanced 0.1% in the 24,800-point region. Ftse 100 in London (+ 0.01%), Cac 40 in Paris (+ 0.02%) and Ibex 35 in Madrid (+ 0.01%) were largely unchanged, while the Dax in Frankfurt (-0.3%) fell.
A new chapter in relations between the United States and China, after the two superpowers resumed trade talks for the first time since the election of US President Joe Biden, even if tensions between the two countries remained in the background.
Yesterday, a White House official said that the United States is entering a period of intense competition with Beijing, while the Biden administration launched a new investigation to quickly reveal the possible origin of the virus in the Wuhan laboratory.
Meanwhile, traders continue to watch the risks of inflationary pressures, which will urge central banks to reduce the monetary stimuli that support the recovery of the economy and financial markets.
The New Zealand Bank has followed Canada’s lead in signaling a possible rate hike next year, while Fed sources have opened up to the possibility of beginning to discuss tapers in the coming months.
On the macro front, the focus will be mainly on the US where the weekly requests for unemployment benefits and the first quarter GDP reading will appear, which is important for more information about the health of the world’s leading economy.
Meanwhile, on Forex, the dollar is moving slightly against other currencies, with the EUR / USD exchange rate in the region of 1.22 and the dollar / yen at 109.1. Crude oil prices were lower, with Brent (-0.6%) at $ 68.3 and West Texas Intermediate (-0.6%) at $ 65.8.
Finally, on bonds, the BTP-Bund spread resumes in the 112bp region with the Italian 10-year yield at 0.92%, pending semi-annual bot auctions for 6 billion today.
Returning to Piazza Affari, Tenaris (+ 0.8%), Inwit (+ 0.5%), Leonardo (+ 0.4%) Banco Bpm (+ 0.4%) and Moncler (+0.4) were positive at the beginning.%), While Bper (- 0.7%) and Cambari (-0.5%) are declining.