Stock markets in Europe closed on a downward bias this Thursday (9) with the energy sector pressured by uncertainties about the Chinese economy after the slowdown in inflation.
Caution is compounded by expectations that monetary policy will remain restrictive for a prolonged period in the US, reinforced by recent statements by the chairman of the Federal Reserve (Fed, the US central bank), Jerome Powell.
In London, the FTSE 100 fell 0.63% to 7,879.98 points, while the DAX index, in Frankfurt, closed at a marginal high of 0.01%, to 15,633.21 points.
The CAC 40, in Paris, dropped 0.12%, to 7,315.88 points, and the FTSE MIB, in Milan, closed down 0.72%, to 27,710.53 points.
In Madrid, the Ibex 35 index fell 0.35% to 9,432.50 points. Finally, on the Lisbon Stock Exchange, the PSI 20 rose 0.01% to 6,056.63 points. Quotes are preliminary.
The exchanges operated in decline since the beginning of trading. Business even pared losses as US jobless data indicated a possible slowdown in the job market, and Paris and Lisbon turned positive after New York’s upbeat opening on hopes of a less aggressive Federal Reserve (Fed) . The movement, however, soon reversed and the indices returned to operate in decline.
AJ Bell explains that the FTSE 100 remains pressured by the speech on Wednesday and Tuesday by Fed Chairman Jerome Powell, who adopted a more hawkish stance and left markets fearful of a more aggressive rise in interest rates in March.
“While Powell has softened things up a bit by saying that nothing is decided yet, the clear message is that future decisions will depend on the data and, for now, that seems to be tilting things more towards a 50 basis point (bp) increase. instead of 25 bp at the end of this month”, indicates an analysis sent to clients.
Also in London, mining companies fell, sensitive to new inflation data from China, which had a greater deceleration than expected by the market.
Polymetal was down more than 5%, Antofagasta was down more than 4% and Rio Tinto was down more than 1%. Shares in Harbor Energy were up nearly 1% after spending much of the trading session falling after disappointing 2022 results.
Credit Suisse, meanwhile, fell more than 1.5% on the Zurich Stock Exchange after the bank had to delay its 2022 annual report after US regulators requested further clarification on the 2019 and 2020 cash flow statements.
Source: CNN Brasil
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