Today’s Stock Exchanges, July 6th. The Fed’s work on rates is not finished and worries the markets

Futures in red for the EU stock exchanges

A downward start is looming for European stocks, in the wake of Wall Street’s red after the publication of the ‘hawkish’ minutes of the Fed’s June meeting. The Eurostoxx 50 loses 0.59%, index futures London’s Ftse 100 lost 0.57%, those on Frankfurt’s Dax 0.60%. Macro data this morning showed a surprise 6.4% jump in German industrial orders in May.

Germany, industrial orders jump

German industrial orders rose 6.4% in May, beating market estimates by 1.2% and following an upwardly revised 0.2% increase in April. This was the second consecutive month of industrial orders growth and the steepest pace since June 2020.

Dufry at 96.4% of Autogrill

Dufry has reached 96.3858% of Autogrill’s share capital (including treasury shares). The company reports this in a statement.

Slow start for the euro

The euro made a slow start below $1.09 as investors priced in a prolonged period of higher interest rates after macro data showed a slowdown in economic growth. The latest PMI report revealed that the eurozone economy is stalling, driven on the downside by a sharp drop in output and a moderation in growth in services activity. Furthermore, although headline inflation fell to 5.5%, the core rate remained well above the 2% target set by the ECB. The single currency changed hands at 1.0844 dollars (-0.06%) and fell against the yen at 155.87 (-0.72%). The dollar/yen exchange rate was also down to 143.72 (-0.64%).

Falling futures for Wall Street

Wall Street is shaping a bearish start after yesterday’s red following the Fed minutes. The minutes of the central bank’s June meeting showed that nearly all FOMC members expect further rate hikes this year. Fed officials also said a recession remains likely. Last month, the Federal Reserve held its key federal funds rate firm, in a range of 5% to 5.25%, the first break after 10 consecutive hikes since March 2022. Dow Jones futures are trading lower 0.33%, those on the S&P 500 0.34% and futures on the Nasdaq lost 0.43%.

Oil prices down

Oil prices fell in Asian markets as investors weighed signs of a larger-than-expected drop in US inventories and output cuts from Saudi Arabia and Russia against fears of an interest rate hike by the Fed Futures on Wti lose 0.28% to 71.58 dollars a barrel, Brent drops by 0.47% to 76.29 dollars. Minutes from the Federal Reserve’s June meeting yesterday showed that nearly all FOMC members supported further rate hikes in the coming months. But fuel consumption in the country seems to have increased during the summer season and US crude exports have also risen to fill the supply gap left by the sharp cuts by the main producing countries, mainly Saudi Arabia.

Fears for the Fed and the Chinese slowdown: Stock markets in the red in Asia

Asian stock markets in the red in the wake of Wall Street’s losses but also, and above all, due to fears about the Chinese economy. The Hong Kong Stock Exchange travels with a drop of more than 3% with the Hang Seng at 18,522.43 points. Tokyo, which started on the downside, loses almost two per center as it moves towards closure. The Shanghai Composite Index was also down, losing 0.53 percent to 3,205.97.