(ABM FN) The Brussels stock exchange closed slightly higher on Wednesday. After a bright red Tuesday in the equity markets, the markets experienced a limited recovery. The Bel20 index rose and closed at 4,125.85 points.
The markets have been a little more nervous in recent days and weeks. Last week there was a real dip due to concerns about the Chinese Evergrande, this week investors again for the higher and yields.
“The higher is due to disruptions in various domains and in the labor market. Sometimes that drags on, problems found. It is actually quite early to say to what extent that structure is. There are also some depressing effects for the influences, such as digitization and aging”, explained Luc Aben, chief economist at manager Van Lanschot.
“Deglobalization will, according to many, be the goal, but I don’t think it will get out of hand. Suppose there is a thorough deglobalization, the companies will not just replace their cheap workers with expensive ones. That will go hand in hand with automation, robotization,” says Aben.
According to the economist, the financial conditions for companies remain good. “You cannot say that a German interest rate of minus 0.2 percent is stifling the economic recovery.” As for tapering by the US Federal Reserve, Aben believes the markets are prepared enough to result in a repeat of 2018’s tantrum being completed.
On a macroeconomic level, there was not much to experience on Wednesday. Upcoming home sales in the United States rose more than expected in August.
The euro/dollar quoted after trading at 1.1613. Oil prices gained slightly. US inventories rose last week.
Risers and Fallers
In the main index, Aperam led the way with a rise of 3.2 percent. Melexis then had to give back 1.2 percent.
Proximus and HCL Technologies have signed a cooperation agreement in the field of IT infrastructure. The target 0.1 percent
UCB to present new study results with bimekizumab at the 30th European Academy of Dermatology and Venereology Congress. The UCB share added 0.9 percent.
On the second line, Lotus Bakeries gained 4.3 percent, a recovery after a blow on Tuesday. Group D’Ieteren fell 3.6 percent.
Degroof Petercam lowered the price target for Mithra from 34.00 to 33.00 euros, but again the buy recommendation. The analyst has processed the news of the discontinuation of PeriNesta by Mithra. The stock added 1.9 percent.
The new James Bond film will be released in Belgian cinemas today, which is good news for Kinepolis according to KBC Securities. The stock exchange has changed the price target for Kinepolis from EUR 52.00 to EUR 64.00 with an unchanged Accumulating advice. However, the retention is 0.4 percent, but of course it is again approaching the rate before the corona crisis.
Kepler Cheuvreux raised the price target for Unifiedpost from 16.00 euros to 20.00 euros on Wednesday with a colorful Keep advice. After the half-year figures, Kepler has slightly adjusted the model for Unifiedpost. The stock was down 0.1 percent.
Among the smaller stocks, Acacia Pharma gained 4.5 percent. The biotech company has applied for BARHEMSYS authorization for major European releases.
Nyrstar, on the other hand, gave up 5.2 percent.
Global Graphics, which is listed in Belgium, wants to change its name to Hybrid Software Group. Shareholders will vote on the new name in mid-October. The stock gained 1.0 percent.
Wall Street standings
Wall Street also gained slightly after European closing time. The broad S&P500 index was up 0.5 percent at 4,373.62 points. The industrial Dow Jones gained 0.5 percent and the technological Nasdaq was 0.3 percent in the green.
Source: ABM Financial News
From Beursplein 5, the editors of Financial news from ABM keep a close eye on developments on the stock exchanges, and the Amsterdam stock exchange in particular. The information in this column is not intended as professional investment advice or as a recommendation to make.