(Paris) The world stock markets are relatively confident on Thursday as the growth of the American economy was revised sharply upwards, the day after the unaccommodating remarks of the President of the Fed on the future rate hikes of the powerful institution.
On Wall Street around 12 p.m. EST, the Dow Jones was up 0.69%, the NASDAQ 0.11% and the broader S index
In Europe, Paris closed up 0.36% while Frankfurt ended even (-0.01%) and London dropped 0.38%.
“For the past few weeks, investors have been less and less afraid in the markets, they accept that rates in the United States will continue to rise in 2023, because the economy is robust,” explains Yann Azuelos, manager at Mirabaud.
On Thursday, gross domestic product (GDP) growth was revised to 2% year on year in the first quarter in the United States, from 1.3% previously, above the 1.6% expected by some economists.
Another indicator, new weekly jobless claims fell to 239,000 from 264,000 the previous week, still above analysts’ expectations.
“This number reminds us that the job market remains tight, increasing the likelihood of a [US central bank] rate hike next month,” Nancy Vanden Houten of Oxford Economics said in a rating.
On Wednesday, US Federal Reserve Chairman Jerome Powell did not rule out rate hikes “at two successive meetings” starting in July, further pushing back the prospect of a peak in US policy rates. institution.
“However, this does not stop the market, which proves that it is prepared,” adds Yann Azuelos.
In Europe, inflation in Germany rose again in June, to 6.4% year on year, due to base effects in energy and transport prices, according to provisional figures published on Thursday.
This data “is not enough for the European Central Bank to change its position” on its rate hikes, according to Azuelos.
On the bond market, the rates of the States in the United States and Europe went up. The U.S. 10-year loan was showing an interest rate of 3.84% around 11:45 a.m. (ET), down from 3.71% on Wednesday, the 2-year loan was at 4.86% against 4.71%. In Europe, the German 10-year rate stood at 2.41% against 2.31% at the close the previous day.
The banking sector was up after the Fed released annual stress test results, which were better than last year for all 23 major U.S. banks.
Stocks Bank of America (2.26% around 12 p.m. ET on Wall Street), Wells Fargo (3.30%) or JPMorgan Chase (2.89%) were all sought after.
Banking also rose in Europe. In Frankfurt, Deutsche Bank gained 1.47% and Commerzbank 1.63%. In Paris, BNP Paribas took 1.66%, Crédit Agricole 1.33% and Société Générale 1.84%. In London, Barclays closed up 2.01%.
The first European car manufacturer Volkswagen (0.58%) announced on Thursday the premature departure of the boss of its Audi subsidiary, Markus Duesmann, and his replacement by Gernot Döllner, a house executive, who will have to accelerate the electric shift of the brand with the rings .
The Porsche luxury car subsidiary took 3.66% the day after its general meeting.
Shares of Swedish clothing giant Hennes et Mauritz jumped more than 18% in Stockholm after better-than-expected second-quarter results, albeit down from a year earlier.
Oil prices were falling around 11:50 a.m. EST after rebounding on Wednesday on news of a massive drawdown in U.S. crude inventories.
The barrel of Brent from the North Sea was worth 73.67 dollars (-0.49%), that of American WTI 69.21 dollars (-0.20%).
The dollar fell 0.29% against the euro, to 1.0881 dollars for one euro.
Bitcoin rose 1.43% to 30,536 euros.