© Reuters. WALL STREET OPENS UP
(Reuters) – The New York stock Exchange and progresses to the beginning of the session on Tuesday, buoyed by new signs of relaxation on the folder north Korean and the hopes of appeasement on the front of free trade.
A few minutes after the opening, the Dow Jones wins 86,02 points, or 0.35 percent, at 24.960,78 points. The Standard & Poor’s 500, wider, rose by 0.3% to 2.729,11 points and the Nasdaq Composite takes up 0.48% at 7.365,56 points.
The market appreciates the announcement of the holding at the end of April for a summit between South Korea and North Korea, the first for ten years, and the statements of a responsible south Korean return from Pyongyang that the north Korean regime is willing to negotiate with the United States and to suspend its nuclear tests during these discussions.
The equity markets were already well-oriented before these news from Asia, thanks to the reflux of fears of tensions in international trade after the multiple calls of political leaders and businesses in the United States addressed to Donald Trump that he does not put in execution his threats of taxation on imports of steel and aluminum.
The Dow and the S&P had gained more than 1% on Monday, with investors judging that the risk of an escalation of trade tensions between the United States and its major partners had decreased.
“The fact that even supporters of the president Trump in the administration speak out publicly against the rights of customs has fuelled expectations of a decline of its share,” explain the managers of the policy rate by Nomura.
– BOND YIELDS UP, DOLLAR DOWN
The renewed appetite for risk is also reflected by clearances on the bond markets, and therefore yields to rise: the ten-year-old american has briefly crossed the bar of 2.9%, and its German equivalent, plus 0.68%, takes more than five basis points.
On the foreign exchange market, the revival in risk appetite hurts the dollar, which dropped to 0.45% against a basket of reference currencies; the euro, it has a time crossed the threshold of 1.24 dollar, under which it has evolved since the 20 February.
The greenback has, however, reduced its losses, according to statements made to CNBC’s Robert Kaplan, the president of the federal Reserve bank of Dallas, on the lack of impact of the tensions on trade for its economic forecasts. He has specified that the basic scenario of the Fed continued to integrate the three increases of rates this year.
Values, Chevron (NYSE:CVX) is gaining 0.72 per cent. The oil group said it forecast a growth of 4% to 7% of its production this year, higher than last year, excluding disposals and on the basis of a price per barrel to 60 dollars. It has added search to resume its repurchases of shares, suspended since 2015.
The downside, International Paper, assigns 1,93% after the announcement by the european group Smurfit Kappa’s rejection of an unsolicited offer to purchase from the paper american.
The distributor Target loses 2.33 per cent, one of the most robust fucks in the S&P 500, after its quarterly results, its earnings per share current printed under the consensus.
Like Wall Street, and for the same reasons, the european markets are also not well oriented: the CAC 40 in Paris rose 0.59 percent, the Dax in Frankfurt 0.66% and the FTSE 100 in London of 0.79%.
(Marc Angrand, edited by Bertrand Boucey)
