Mainly positive Asian equities, following the arrival of the two major markets, they are influencing and will affect the trend of stock exchanges, sovereign debts and forex in the coming sessions. The exceptions are the Tokyo stock exchange with the Nikkei 225 index around par (-0.03% in the minutes of closing time), and that of Shanghai, down 0.37%; positive instead Hong Kong + 0.46%, Sidney + 0.16%, Seoul + 0.67%.
Futures on American stock indices little moved, after the positive close of Wall Street, which saw the S&P 500 rise to new record values.
Sentiment held up, despite the publication of the US consumer price index, a fundamental inflation thermometer, in May showing a surge of + 5% on an annual basis, beyond estimates, and the new high since 2008. Boom also for the core component, which jumped by 3.8% on an annual basis, to a record in almost 30 years.
But the fear of a tapering of quantitative easing by the US central bank has not been the main factor.
Yesterday the Dow Jones closed up 19 points (+ 0.06%), at 34,466.24 points; the S&P 500 advanced 0.47% to 4,239.18 points, while the Nasdaq Composite finished the session up 0.78% to 14,020.33 points.
Futures on the Dow Jones are flat, with a variation of + 0.02% at 34,361 points; futures on the S&P 500 are also plastered, with an increase of just + 0.04% to 4,230 points; ditto the futures on the Nasdaq, + 0.09% to 13,963 points.
Yesterday was also ECB Day, which saw the meeting of the Governing Council of the ECB and the subsequent press conference of President Christine Lagarde as protagonists.
Most eagerly awaited were the statements on the pandemic QE tool, the PEPP, with which the Eurotower buys bonds worth $ 80 billion a month (and which accompanies the traditional asset purchase program, APP, which continues to rate of $ 20 billion per month).
Inflation – repeated Lagarde – is not a problem, to the point that the ECB has announced that it will maintain a “significantly” faster pace of asset purchases with its pandemic QE for the next quarter.
However, it must be said that the euro rises, advancing by 0.13% to $ 1.2189, probably also discounting what Lagarde admitted, or that three members of the Governing Council of the ECB yesterday asked to cut the purchase of assets which happens every month with the PEPP. However, it is also definitely a minority, given that there are 25 exponents in all.
At this point, thank you for the next meeting of the FOMC, the monetary policy arm of the Federal Reserve headed by Jerome Powell, for the next 15-16 June.