(ABM FN) The Brussels stock exchange was higher on Thursday but volumes, exercises and the news were all limited during these last trading moments of the year. The Bel20 index gained a limited 0.2 percent at 4,308.68 points.
2021 was a strong year for equity markets. The Bel20 index lists 17.4 percent and the American-wide S&P500 index even added 29.5 percent.
According to Philippe Gijsels, Head of Market Strategy at BNP Paribas Fortis, the main points for attention for the coming year are responding to central banks, but also developments in China. “The tech crackdown in China poses a risk. At some point I do think this will end. Nor will they kill the goose that lays the golden eggs. In our opinion, it is important to do business in a diversified manner in the country, but not being present is just as much a risk,” said the market expert. “Besides technology, there is the Chinese real estate sector that is in trouble, for example with Evergrande, but it goes beyond that company. This could also put pressure on commodity prices and the global economy. It can focus on the country’s resources to go there and see more to achieve it.”
According to Gijsels, it is also interesting in the run-up to last year to see what is happening at sector level. “Under the surface, we need to see if a rotation from tech to value is finally underway. This year, a limited number of stocks have continued to rise further, many stocks are in a negative trend, but that is not noticeable when men look at the progress indices.”
Investors today are eyeing, among other things, the releases of US aid applications. Furthermore, the macroeconomic agenda remains virtually empty.
The euro/dollar was trading at 1.1303 with oil futures trading flat.
Risers and Fallers
Thursday was very quiet in terms of company news. Trading volumes remain low and many traders and staff of the publicly traded companies are on holiday for the holidays.
WDP managed to add 1.1 percent to the Bel20 index. Colruyt was on the other side with a loss of 0.6 percent.
In the second row, VGP improved by 2.2 percent, while Sipef lost 1.2 percent.
Among the smaller stocks, MDxHealth gained 4.4 percent and crescent 2.1 percent.
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.