© Reuters. The Scholarships undecided, between micro and macroeconomics
by Blandine Henault
PARIS (Reuters) – The european markets are evolving slightly down on Tuesday at mid-session and Wall Street is also expected in the red, the stance is slightly marked on the market in the face of the uncertainties surrounding the publications of results of companies and the pace of global growth with trade tensions.
In Paris, the CAC 40 gives up 0.42% to 5.386,50 points to 10: 45 am GMT. In Frankfurt, the Dax fell 0.19 per cent and in London, the FTSE yields of 0.22%.
Index pan-european FTSEurofirst 300 lost 0,29%, the EuroStoxx 50 for the euro area folds down 0.49% and the Stoxx europe 600 index declined 0.26%.
Has Wall Street, futures on indices new yorkers to report open reduction of the order of 0.1% to 0.2%.
The trend may however be moderated by the publications quarterly prior to the opening of the heavy weight of the odds that are Goldman Sachs (NYSE:GS), Morgan Stanley (NYSE:MS) and Johnson & Johnson.
In Europe, the rating is also driven by news about companies. Evidenced by the bond of Thyssenkrupp (+8,25%) : the resignation of the chairman of the supervisory board fueling speculation about a deep restructuring of the industrial conglomerate in German, as desired by the analysts.
In Paris, Casino in advance of 2.74%, investors welcomed the acceleration of the organic growth of distributor of saint-etienne in the second quarter and performance better than expected in France.
Conversely, Ruby (-8,27%) and Orange (2.3%) also are the costs of rating downgrades recommendation on the part, respectively, of Exane BNP Paribas (PA:BNPP) and Citigroup (NYSE:C).
Red lantern Stoxx europe 600 index, the Swedish manufacturer of gardening equipment Husqvarna fall 18.05% having warned of a negative impact of the implementation of new tariffs this year, and even more in 2019.
OF TRADE TENSIONS STILL PRESENT
Despite the absence of new developments on the front of the international trade, the fears of an escalation of protectionism between the United States and their main partners continue to weigh on the market sentiment.
The growth of the global economy remains robust but is less balanced than in the recent past and could quickly accuse the shot if the threats on the world trade materialize, warned on Monday the international monetary Fund (IMF) in its economic outlook.
The IMF estimated that global GDP could be reduced by the order of 0.5 percentage points by 2020 compared to current expectations if the threats of higher customs duty of the administration to Trump and of retaliation of the countries referred to were followed by action.
The United States implemented tariffs on steel and aluminium as well as 34 billion dollars of imported goods specifically from China.
In the absence of a trade agreement with Beijing, Washington has threatened to taxing $ 200 billion of chinese imports further.
The potential impact of these tensions on trade for the u.s. economy should be included among the questions of the elected officials of the Congress to the president of the federal Reserve, and Jerome Powell.
It will be expressed from 14: 00 GMT before the Senate banking committee u.s., before a new hearing Wednesday in the House of representatives.
“BREXIT” IN THE PAIN
Up here, the boss of the Fed was optimistic for the health of the U.s. economy, thus fueling the scenario of two rate increases still to come before the end of the year.
In the meantime, the dollar is practically stable in the face of a basket of reference currencies and the yield on government bonds us 10-year balance of 2,856%.
For its part, the pound sterling has reduced its advance against the greenback, weighed down by increasing uncertainties over the implementation of Brexit and the difficulties of the First minister Theresa May to approve its roadmap.
The announcement of a slowdown in the growth of wages over the three months to the end of may in the United Kingdom powers also the debate around a rate hike from the Bank of England on 2 August.
On the oil market, crude prices stabilize, but remain penalized by an increase in production after the reopening of libyan ports, and by fears on world growth due to trade tensions.
A barrel of Brent returns to 71,85 dollars, after touching its lowest level since April, and the barrel of light crude, american crude oil (WTI) fell below us $ 68.
(Edited by Patrick Vignal)