9 minutes ago
US inflation slows more than expected in June
US consumer price inflation fell to 3% annualized in June, below consensus expectations and sparking a rally in stock markets around the world.
Excluding volatile food and energy prices, core inflation fell to 4.8% a year, below consensus expectations of 5%.
Traders would hope that any signs of a sharp cooling in inflation in the world’s largest economy would mean the Fed is less likely to resume aggressive rate hikes.
— Elliott Smith
3 hours ago
Stocks on the rise: Zalando gains 12%, Virgin Money UK gains 8%
Shares of German online retailer Saland rose 12% in the European market by early afternoon to lead the Stoxx600 index, while Virgin Money UK rose 8% after a solid performance in the Bank of England stress test. followed closely.
Shares of Air France-KLM Royal Dutch Airlines, the bottom of the European blue chip index, fell 4.7% after Deutsche Bank downgraded the company from “buy” to “hold.”
— Elliott Smith
2 hours ago
US dollar hits two-month low as traders expect inflation to plummet
The U.S. dollar index hit a two-month low on Wednesday as risky assets around the world rose, and traders were on the alert for June’s Consumer Price Index (CPI) release at 1:30 p.m. London time. It appears to be betting on a significant slowdown in U.S. inflation.
By early morning, the DXY US dollar index in the London market was hovering just below 101.5, its highest level since May 10.
— Elliott Smith
5 hours ago
European stocks start slightly higher
European stocks were mostly higher on Wednesday’s open.
The pan-European Stoxx 600 index rose 0.3% in early trading, led by tech stocks up 1% as most sectors and major exchanges moved into positive territory. Travel and leisure stocks fell 0.6%.
6 hours ago
Bank of England: UK banks are strong enough to support households and businesses
Bank of England Governor Andrew Bailey attends the Bank of England Monetary Policy Report press conference at the Bank of England in London, UK, February 2, 2023.
Pool | Reuters
The Bank of England said Wednesday that Britain’s banks are strong enough to support households and businesses while curbing rising borrowing costs and rising costs of living.
The central bank said in its Financial Stability Report that UK households and businesses are in a safer position than before the financial crisis, with a lower share of household income being spent on mortgage payments and a lower share of business spending on debt. He pointed out that the percentage spent on repayment is declining. .
“High interest payments on loans mean that some households and businesses may not be able to pay, which increases the risk of banks facing some losses,” the World Bank said.
“However, UK banks are resilient and strong enough to continue supporting households and businesses through a period of rising interest rates. In line with our rules, a large capital buffer to absorb losses. have.”
Banks have not yet seen an increase in borrowers defaulting on their loans, but they expect the rate hikes to gradually trickle down the economy. As such, homes and businesses have not yet been fully impacted.
— Elliott Smith
7 hours ago
Click here for the opening call
The UK’s FTSE 100 index is expected to rise about 16 points to 7,299, Germany’s DAX index is expected to rise about 53 points to 15,843, and France’s CAC40 index is expected to rise about 34 points to 7,254, according to IG data. there is
12 hours ago
CNBC Pro: Stocks will crash if US avoids recession, says Investec equity strategist
Investec equity strategist Roger Lee said the stock market could suffer if the U.S. economy manages to avoid a recession that many believe is imminent.
Lee also explained why the market is going down and where to hide when the downturn starts.
CNBC Pro subscribers can read more here.
— Ganesh Rao
12 hours ago
CNBC Pro: Goldman Picks Dozens of Global Stocks Undervalued, Giving Two Stocks More Than 100% Upside
Analysts at Goldman Sachs have picked a number of global stocks that the firm claims are trading at bargain prices, and said two of them could rise more than 100% over the next 12 months. .
All of these stocks are on Goldman’s list of “Value Buy Stocks with Upside Earnings Potential.”
“We screen buy-rated stocks that trade at attractive valuations relative to historical performance…and analysts judge the upside risk to the consensus 2023/24E EPS. Screen broad market (SXXP) [earnings per share]said a bank analyst.
CNBC Pro subscribers can see which stocks have made the list here.
— Lucy Handley
10 hours ago
New Zealand keeps rates unchanged at 5.5%, first moratorium since October 2021
central bank of new zealand maintained the base interest rate At 5.5%, it will be the Reserve Bank of New Zealand’s first pause since October 2021.
The RBNZ said current interest rate levels were “restraining expected and needed spending and inflationary pressures”.
But the central bank said interest rates would need to “keep at a restrictive level for the foreseeable future” to ensure consumer inflation returns to its target range of 1-3%.
— Lim Huisier
11 hours ago
Japan’s wholesale inflation slows for 6th straight month to 4.1%
Japan’s corporate goods price index is Declined to 4.1% year-on-year in JuneAnd the growth slowed down for the sixth straight month.
The 4.1% figure, also known as the wholesale inflation rate, is lower than the May revision of 5.2% and is also the lowest inflation rate recorded since April 2021.
The Corporate Goods Price Index measures the prices that businesses charge to each other for goods and services.
— Lim Huisier
