The entry of Wall Street of the New York Stock Exchange
seem Mara Vilcu
Wall Street is expected on a hesitant note on Tuesday while European scholarships are advancing mid-session, while markets are impatiently awaiting the federal reserve symposium in Jackson Hole and diplomatic negotiations continue to end the Ukraine conflict. Futures in New York indices report an opening down 0.06% for Dow Jones, 0.08% for Standard & Poor’s-500 and 0.04% for NASDAQ. In Paris, the CAC 40 earns 0.90% at 7,954.72 points around 10:12 GMT. In Frankfurt, the Dax advances 0.29% and in London, the FTSE 100 rises by 0.26%.
The Eurostoxx 50 index increased by 0.66%, the FTSEUROFITS 300 takes 0.49%and the Stoxx 600 advance of 0.50%.
Three days after a bilateral summit with Russian president Vladimir Putin in Alaska, in which no ceasefire in Ukraine was agreed, Donald Trump organized discussions in Washington on Monday with Ukrainian President Volodimir Zelensky and several European leaders.
The American president has committed to the United States to contribute to the security guarantees provided to Ukraine as part of a possible peace agreement with Russia and said they prepare a meeting between Volodimir Zelensky and his Russian counterpart Vladimir Putin, which would be followed by a trilateral summit between the three men.
Europeans meet again on Tuesday in videoconference to take stock of the day before discussions.
“The Trump-Zelensky meeting could have gone badly, like that of last February which moved many lines in Europe. The meeting on Monday was more constructive, it is a positive signal”, underlines Olivier Maltete, director of investments at Yomoni, for whom he is however “still too early to rejoice in the end of the conflict”.
Apart from the geopolitical front, the key event of the week will be the symposium of the American Federal Reserve (Fed) to be held in Jackson Hole from August 21 to 23. The president of the Fed, Jerome Powell, is expected to speak on Friday on the economic prospects and the political framework of the Central Bank.
“The Jackson Hole symposium appears to be a potential source of volatility, and as this event approaches, the markets remain cautious,” observes Kyle Rodda, analyst at Capital.com.
Values in Europe
The European Defense sector fell back with advances in negotiations on the conflict in Ukraine.
Leonardo abandoned 7.34%, Rheinmetall lost 4.16%, Dassault Aviation sold 2.81%and Thales fell by 3.65%.
“The Zelensky-Trump meeting may have fueled speculations on a softening of the position on the Ukrainian conflict but I consider the decrease of today more as a short-term reaction than as a change in fundamentals,” notes Marcus Gavelli, analyst at Pareto Securities.
RATE
The bond markets are changing little, upstream of the Jackson Hole symposium.
The yield of Treasuries at ten years abandons 1.3 base points at 4.3257%. The two years lost 1.4 base points at 3.7585%.
The rate of the German Bund at ten years fell from 1.6 base points to 2,7588%. The two -year -old loses 0.5 base point at 1.9626%.
CHANGES
The dollar is back while the traders are waiting for Jackson Hole’s speech from Jackson.
The greenback loses 0.13% against a basket of reference currencies.
The euro gains 0.16% to 1.1679 dollars.
OIL
Oil prices fall, investors evaluating the implications of current negotiations on Ukraine for the petroleum market. A possible end of the conflict could lead to the lifting of Western sanctions on Russian oil, which would increase the offer.
Brent abandoned 0.95% to 65.97 dollars per barrel and American brut (West Texas Intermediate, WTI) fell 0.99% to 62.79 dollars.
(Written by Mara Vîlcu, edited by Blandine Hénault)