* Wall Street opened 0.3% to 0.6%.
* Bond yields continue to rise in the US
*
Investors await indicators, including the Fed’s “minutes”.
* Also follow the ISM index of manufacturing activity in the USA
by Claude Chendjou
PARIS, Jan 3 (Reuters) – Wall Street is expected to collapse on Wednesday amid continued rises in bond yields and profit-taking, while in Europe stock markets tumble mid-session as technology stocks fall (-1.81% ) and basic resources (-2.28%).
New York index futures signal a 0.31% lower opening on Wall Street for the Dow Jones, 0.40% for the Standard & Poor’s 500 and 0.65% for the Nasdaq.
In Paris at around 1245 GMT, the CAC 40 lost 1.51% to 7,416.88. In Frankfurt the Dax lost 1.03%, in London the FTSE lost 0.84%.
The pan-European FTSEurofirst 300 index lost 0.81%, the Eurozone EuroStoxx 50 lost 1.23% and the Stoxx 600 lost 0.94%.
The market environment is one of caution after the double-digit gains made by the main indices in Europe and the United States in 2023 while investors also await the minutes of the monetary policy meeting of the US Federal Reserve on December 12 and 13 at 19:00 GMT (Fed), which could provide clues to the rate cut expected this year.
“Dot chart forecasts suggest three rate cuts this year,” notes Joshua Mahony, chief market analyst at Scope Markets. However, the market is betting on six downturns, he notes, which could put pressure on stocks.
In addition to the Fed’s “minutes,” investors will take note of U.S. manufacturing activity indices and the results of the Jolts job vacancies survey, two economic highlights ahead of the release of Friday’s official American report. occupation.
In Europe, the wait is for inflation data expected on Friday, as investors continue to bet on a first rate cut by the European Central Bank (ECB) in March.
VALUES TO FOLLOW ON WALL STREET
Pfizer gains 1.2% in the pre-market and Moderna advances by 2.9% after having already gained 13.1% the day before following the relaunch of Oppenheimer’s recommendation of “outperform” on value and confirmation by part of the laboratory’s 2025 revenue growth target.
VALUES IN EUROPE
Atos fell by 5.57% after gaining up to 12% at the beginning of the session following the announcement of negotiations with Airbus (-2.17%) for the acquisition of its BDS (Big data & security) business for which the European aircraft manufacturer proposes an enterprise value of between 1.5 and 1.8 billion euros.
Ryanair lost 4.58% after warning that some online travel agencies had stopped offering its flights for sale.
ASML fell further, by 2.78%, after the partial revocation of the export license to China.
Maersk advanced by 4.26% thanks to the increase in Goldman Sachs’ recommendation to “neutral” from “sell”.
EVALUATE
The yield on the 10-year Treasury bond recorded its fourth consecutive session of increases, rising almost three basis points to 3.9744%, after crossing the 4% threshold the day before during the session. However, there is still a good distance from the peak of 5% reached last October, while the probability of a 25 basis point rate cut by the Fed in March is estimated at 67%.
The 10-year German Bund yield was stable at 2.051% after a gain of nearly 3.5 points.
CHANGES
The dollar gained 0.21% against a basket of benchmark currencies, following a 0.86% rise on Tuesday on expectations of new indicators in the United States.
The euro fell 0.24% to $1.0921, its lowest level since December. The day before, the European single currency suffered its biggest single-session decline (-0.95%) since July.
The pound nibbles 0.08% to $1.2624.
OIL
The oil market is rising again amid supply disruptions linked to persistent tensions in the Red Sea.
Brent rose 0.75% to $76.46 a barrel and US light crude (West Texas Intermediate, WTI) rose 0.61% to $70.81.
MAIN ECONOMIC INDICATORS ON THE AGENDA OF 3 JANUARY COUNTRY GMT INDICATOR PREVIOUS CONSENSUS PERIOD USA 15:00 ISM manufacturing index December 47.1 46.7 USA 15:00 Job offers (Jolts) November 8.85 million 8.73 million ( Written by Claude Chendjou, edited by incoming Kate)
2024-01-03 13:04:23
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