Radical interest rate hike expectations are rekindled! European and American stock markets both weakened, European natural gas rose more than 5%

time:2023-01-30 06:42:38source:chakarski.com author:Trend
Radical interest rate hike expectations are rekindled! European and American stock markets both weakened, European natural gas rose more than 5%

Market sentiment was suppressed by the hawkish voice of senior officials and weak economic data, and both European and American stock markets weakened; US bonds rose slightly under recession expectations; international oil prices rose slightly, and European natural gas prices rose 5.6%. Europe's benchmark, the pan-European Stoxx 600, was between gains and losses, with Britain's FTSE 100 down 0.3%. For the first time, traders expected the ECB to raise interest rates by a cumulative 1 percentage point by October. Minutes of the ECB's July monetary policy meeting to be released later will provide some clues on the path of rate hikes in September. U.S. stock index futures oscillated between gains and losses, with S&P 500 futures down 0.01%. Before the U.S. stock market opened, popular Chinese concept stocks fell, Pinduoduo and Bilibili fell by more than 3%, Alibaba fell by more than 2%, Ideal Auto and JD.com fell by more than 1%. 3B furniture, which had plummeted before, rose by more than 16%. The company has reportedly found a source of financing to shore up its liquidity. The company had been seeking about $375 million to fill its cash levels and help pay down existing debt. Data released yesterday showed that the U.S. Markit manufacturing, service, and composite PMIs continued to hit new lows for more than two years in August, and the economy deteriorated significantly. Formerly dovish Minneapolis Fed President Kaska became an "eagle king" on Thursday, saying he would rather tighten policy "too much" until there is clear evidence that high inflation is receding. He believes the Fed needs to continue raising policy rates by the end of next year, adding another two percentage points to current rates. In addition, Federal Reserve Chairman Powell may continue to hawk at the upcoming Jackson Hole annual meeting of global central banks, which will further pressure global markets. For now, the market is awaiting U.S. durable orders data for July for evidence of a further slowdown in the economy. In the bond market, the yield on the 10-year U.S. Treasury bond fell slightly, reversing the three consecutive trading days of growth. The yield on the 2-year U.S. bond is currently 3.313%, and the yield curve for the 2-10-year U.S. bond is still at Inverted state, suggesting that the economy is about to fall into recession. International oil prices rose, with Brent and U.S. crude both rising more than 0.6%. Earlier, Saudi Arabia and other OPEC+ members suggested reducing output; data showed that U.S. crude inventories are shrinking. Under the cover of the energy crisis, the price of natural gas in Europe continued to soar, and the increase is now 5.6%. In currencies, the dollar index edged up 0.39%, while the euro fell 0.5% against the greenback. This article is from Wall Street News, welcome to download the APP to see more
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