End of winning streak in Brussels
(ABM FN) The Brussels stock exchange closed in the red on Thursday, after an excellent start to the year with three trading days of profit in a row.
The Bel20 fell by 0.3 percent to 3,809 points today.
Investors have been busy, with the partially released Fed minutes and a series of macroeconomic indicators in the loop of the day.
The minutes of the Fed’s last policy meeting confirmed that there will be no rate cut in 2023.
“I’ve said it often enough, but we shouldn’t expect a change of course from central bankers. And the minutes of this,” said Bernard Keppenne of CBC Banque.
“It is true that the pace of interest rate hikes will slow down, and a 25 basis point hike at the next meeting seems somewhat more likely after the minutes are published,” the chief economist acknowledged.
“But the minutes also show that Fed members are concerned about any misconceptions that financial markets may have about the Fed’s commitment to joint existence,” he concluded.
The majority of the market now expects interest rates to peak at 5 percent in March.
Furthermore, there was much stronger job growth in December, according to figures from ADP, which is a signal that the labor market is not cooling down.
This caused the dollar to strengthen at 1.054 and the 10-year rate rose to 3.73 percent. The dollar also strengthened following the double-digit decline in the US trade surplus in November.
In the eurozone, producer prices fell by 0.9 percent in November, in line with expectations, mainly thanks to a further fall in energy costs, according to figures published by Eurostat on Thursday.
After Wednesday’s drop, Brent oil was 1.4 percent higher at $ 79 a barrel at the beginning of the evening. the European gas price rises to 71 euros.
Risers and fallers
In the main index, Aperam was the biggest riser with 2.5 percent. Elders in Europe are also seeing good profits in commodity stocks.
At the bottom of the VGP, but also D’Ieteren, which had to drop 2 percent to 182.4 euros. At the start of the trading day, the holding company had peaked at 187.4 euros, then succumbed to profit-taking.
The American investment bank JPMorgan has lowered the price target for Proximus from EUR 13.70 to EUR 12.50 and maintains the Neutral rating. more, the stock rose 2.1 percent.
And in the BelMid, the price target for Telenet was actually increased by JPMorgan from EUR 20.50 to EUR 23.00, with a failed Overweight recommendation. The Telenet share gained 2.4 percent.
The price target for Orange Belgium was lowered from EUR 19.50 to EUR 19.20, with a Neutral rating. The stock fell 0.1 percent.
At the bottom, Xior fell more than 3 percent.
Among the smaller shares, Unifiedpost gained 6.2 percent. The company has announced the invoicing of 1,200 Flemish schools to go digital. At the bottom, Sequana Medical was down 4.6 percent.
Wall Street
Wall Street traded for lager at the end of the European trading day. The S&P 500 fell 1.2 percent.
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