A Wall Street sign is pictured outside the New York Stock Exchange
couple Pauline Foret
Wall Street is expected to rise on Friday with gains in the technology sector while European stock markets rise at midday in a market context which benefits from the jump in Chinese stocks after Beijing’s latest measures aimed at supporting the world’s second largest economy.
Futures on New York indices signal an opening on Wall Street higher, showing a gain of 0.17% for the Standard & Poor’s 500 and 0.4% for the Nasdaq, against a stable opening for the Dow Jones. In Paris, the CAC 40 gained 0.47% to 7,619.23 points around 10:50 GMT. In Frankfurt, the Dax gained 0.13% while in London, the FTSE lost 0.33%, penalized by data on retail sales in the country.
The pan-European FTSEurofirst 300 index advanced by 0.24%, the eurozone’s EuroStoxx 50 by 0.58% and the Stoxx 600 by 0.24%.
The trend in Europe was driven from the opening by the jump in Chinese stocks – the CSI 300 having climbed 3.6% – after data on Chinese GDP for the third quarter and the officialization by the People’s Bank of China ( BPC) of a swap facility aimed at stimulating financial markets.
On Wall Street, the microconductor and technology sectors could continue their rebound after the previous day’s gains linked to the results of Taiwanese chip giant TSMC and which took the Dow Jones to a record.
VALUES TO FOLLOW AT WALL STREET [L8N3LU0IY]
Netflix jumped 5.8% in pre-market trading after announcing Thursday that it had recorded 5.1 million new subscribers in the third quarter, once again exceeding Wall Street expectations. The streaming group said it expected to gain more customers by the end-of-year holidays.
The pace of quarterly results publications also continues, with figures from Procter & Gamble and American Express expected before Wall Street opens.
VALUES IN EUROPE
The European technology sector (+1.47%) is supported by the general progression of the compartment. In terms of results, Virbac and Getinge lost 8.98% and 6.84% respectively after the publication of their quarterly accounts.
The positive sentiment on China is boosting the luxury sector, which suffered earlier this week from the disappointment of LVMH’s results (+2.9%). Kering takes 5.65% and Hermès 2.12%.
RATE
Bond yields are stabilizing after rising the day before, as investors rethink their bets on an upcoming cut in key Fed rates in the wake of the ECB.
The yield on ten-year Treasuries gained 0.1 basis point to 4.0966%, while the two-year yield lost 1.3 basis point to 3.9737%. The yield on the ten-year German Bund fell by 1.9 basis points to 2.1840%, and the two-year by 4.8 basis points to 2.0950%.
EXCHANGES The dollar is falling slightly after having increased with the ECB’s decision to lower its rates and the latest economic data in the United States.
The greenback lost 0.16% against a basket of reference currencies, including the euro which advanced 0.08% to 1.0840 dollars.
OIL
Oil prices are trying to stabilize after a turbulent week which could result in a weekly decline of more than 6%.
Brent lost 0.42% to $74.14 per barrel and American light crude (West Texas Intermediate, WTI) lost 0.38% to $70.40.
(Written by Pauline Foret, edited by Blandine Hénault)
