The reference will be the key to getting new clues about the next moves of the Federal Reserve (Fed)
Doubts in European stock markets at the end of a week that started with too much optimism for many analysts. After recovering 4.5% in just two sessions, sales returned to the Ibex-35, which is currently failing in its attempt to stay above 7,500 points.
Hopes that central banks will slow down the pace of rate hikes in the face of the worsening economic evolution are once again giving way to caution among investors as they await the most relevant reference of the week: the official US employment report.
Link Securities analysts point out that “markets have recently reacted positively to bad macroeconomic news, as it could influence central bank actions and force them to be less aggressive.”
This time, however, the reaction could be different, as it is a reference to the labor market. “If the data comes in bad, investors will interpret it as negative, as the Fed plans to drastically ease tensions in the US labor market, tensions leading to sharp wage increases, a second-round effect of inflation that the central bank is pushing. wants to eradicate.
In the early stages of Friday’s session, the biggest falls were scored by Grifols (-2.65%), BBVA (-2.15%), Sacyr (-1.23%), Meliá Hotels (-0.78% ), Inditex (-0.78). %) and Naturgy Energy (-0.69%), while on the other hand Bankinter (+1.33%), Caixabank (+1.07%), Merlin Properties (+0.57%), Sabadell (+0 .54%) and ArcelorMittal (+0.47)%).
The market is also monitoring the evolution of oil prices, with a Brent-type barrel, the benchmark in Europe, already standing at more than $95, while the US West Texas advances at $89.
Source: La Verdad
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
