Fall pending Fed and ECB in Athens and euro markets
Tthe decisions of the central banks as well as the conclusions to be drawn from the speeches of Christine Lagarde and Jerome Powell, the markets expect to form a clearer picture regarding the policy that will be applied in the near future on interest rates.
- Held the 920 units in A.A. backed by the FTSE 25
- Mild fall in Europe, Wall Street up
- Jumbo, Quest, Motor Oil and Mytilineos stood out in Large Cap
- The markets are waiting for the decisions of the central banks
No surprises are expected, as the Fed is expected to raise interest rates by 50 basis points to an intervention rate of 4.25-4.50%, while at the same time giving some first indications of what it intends to do next with the updated reading of the Consumer Price Index.
Tomorrow Thursday the ECB will take over by raising interest rates by 50 basis points to 2.5%. The main focus here will be on credit contraction intentions through bond markets which may come under review. If there is a divergence in the above estimates, then the markets will react accordingly.
Of course, a lot will depend on how central bank chiefs are positioned, as – in the short term – they appear discounted, so the focus is on the next day.
The image of markets
Amid this climate, European indices on Wednesday closed mildly lower, with no extremes and reduced volatility and softer volumes and turnover compared to recent standards. The FTSE 1000 in London fell marginally by 0.09% to 7,495.93 points, the DAX in Frankfurt lost 0.26% to close at 14,460.20 points, while the CAC 40 in Paris closed at 6,730.7 points. 21%.
In the south, the FTSE MIB in Milan fell 0.26% to 24,573.93 points, while the IBEX 35 in Madrid was mixed as it gained 0.40% to 8,360.60 points. The pan-European Stoxx 600 was marginally down 0.02% at 442.51 points.
On Wall Street at 7:30 p.m. Greek time, the Dow Jones was up 193 points or +0.57% at 34,301 points, the S&P 500 was up 0.47% at 4,038 points and the Nasdaq was at 11,300 points with gains of 0.40%.
Durable A.A. holds the 920 units
Another positive session was given by the A.A. at Wednesday’s meeting, with the G.D. to close at 923.63 units with an increase of 0.34%, while the transaction value was 57.62 million euros. The FTSE 25 closed at 2,242.86 points up 0.57%, the Mid Cap closed at 1,410.93 points a marginal drop of 0.08%, while the banking index was marginally down 0.03% at 637.57 points .
The market is holding the area above 900 units with typical ease, while it is now trying to make a base of the 920 unit zone, improving the technical picture. In the previous days, G.D. it did not miss the 900-point mark which brought more confidence to those taking buying risks.
In the large capitalization, Jumbo rallied +6.24%, Quest Participations, Motor Oil and Mytileneos gained more than 2%, while Aegean Airlines, Ethniki, Titan, Terna Energy, Viohalco, OPAP and Eurobank also closed positively. On the other hand, Piraeus, Helleniq Energy and ElvalHalcor fell more than 1%. In Mid Cap, gains were made by Kri Kri, Premia, Plaisio, Plastici Thrace, Iktinos, Briq Properties, AVAX, Fourlis etc., while HEXAE, EYATH, Intrakat, Cenergy Holdings, Profile and Intracom Holdings declined.