The global scholarships are increasing up on Monday, the day after the conclusion of a highly anticipated trade agreement between the United States and the EU establishing American customs duties on European products at 15%, eliminating a share of uncertainty in the markets.
In the first exchanges, the Paris Stock Exchange took 0.87%, Frankfurt 0.44%and Milan 0.72%. London earned 0.25%.
Donald Trump and the president of the European Commission Ursula von der Leyen concluded in Scotland a customs agreement providing that European products exported to the United States will be taxed at 15%.
Europeans hope to avoid a commercial escalation at this price.
“Investors love the certainty, and they have just received a good dose”, the long -awaited trade agreement “thus defusing months of increasing threats”, comments John Plassard, head of the investment strategy at Cité Gestion Private Bank.
“This agreement eliminates the greatest short-term threat that weighed on the markets. And in the current context that is more than enough to advance the indexes” stock markets, he believes.
Exporters feared the establishment of American taxes by 30% from August 1.
“This week’s key commercial deadline on August 1, is becoming a non-event,” said Jim Reid, an economist at Deutsche Bank.
In addition to customs duties imposed on European products, the EU engages at $ 750 billion in energy purchases and 600 billion additional investments in the United States.
The two powers also decided to reciprocally lift their customs duties on certain strategic products, including aeronautical equipment, then said Ursula von der Leyen before the press.
“It is not a de -escalation – it is a normalization of customs duties”, tempers Stephen Innes, analyst at SPI AM.
For some, the agreement has a bitter taste. “Mass should not be said”, for example, castigated the French Minister Delegate for Foreign Trade, Laurent Saint-Martin, calling for a “rebalancing” especially in services.
In Asia, scholarships also benefit from optimism around the trade agreement between the European Union and the United States.
In continental China, Shenzhen won 0.37% and Shanghai 0.06%. In Hong Kong, the Hang Seng index took 0.53% in the last exchanges. In Japan, the Tokyo Stock Exchange ended up on a 1.10%drop.
The attention is now heading for Beijing, Chinese officials and their American counterparts having to meet on Monday in Stockholm, with the main objective of extending their commercial truce which must end on August 12.
As it stands, Chinese products entering the United States could be taxed between 10% and 50%.
“The first reports – for the moment only from Chinese press titles – suggest that a 90 -day extension has been granted,” said Jim Reid.
The week will also be marked by numerous publication of results of companies, economic indicators but also monetary decisions of central banks, including that of the American Federal Reserve (Fed) expected on Wednesday after a two -day meeting.
“The big question is whether enough uncertainties have dissipated so that the Fed gives a clearer orientation for September,” said Reid.
The automotive sector relieved
European car manufacturers, for which the United States is an important market, are pushing a sigh of relief after the announcement of the agreement.
In Paris, Stellantis took 3.75% around 7:30 am GMT, the highest increase in the star index of the Paris Stock Exchange in the first exchanges. Renault, less exposed to the American market, was still up 0.73%.
In Germany, Mercedes took 2.02%, Volkswagen 2.09%, Porsche rose 1.70%and BMW earned 1.03%.
French automobile equipment manufacturers Forvia (+10.22%), Valeo (+5.01%) and Opthobility (+2.91%) also climbed. Continental German took 1.23%.
Customs duties “which also apply to automotive products, will cost billions each year to German automobile companies”, however deplored Hildegard Mueller, president of the Federation of German Automobiles VDA on Monday.