(New York) Stock markets rose sharply on Monday, helped by statements by US President Joe Biden on the possible lifting of tariffs applied to China and technical purchases on Wall Street.
Updated yesterday at 5:00 p.m.
London took 1.67%, Paris 1.17%, Frankfurt 1.38% and Milan managed to grab 0.17% after a session spent mostly in the red.
In New York, the Dow Jones gained 1.98%, the NASDAQ index, with strong technological coloring, 1.59%, and the broader S&P 500 index, 1.86%.
National Securities’ Art Hogan said a series of technical indicators showed the market was ripe for a rebound, which prompted an inflection.
Wall Street has “drawn a line in the sand”, he said, and decreed that the levels reached after several consecutive weeks of decline constituted a “floor” on which to build, even if only in the short term.
Another favorable element, “we haven’t had any bad news”, underlined Art Hogan.
The New York market even welcomed the statements of US President Joe Biden on a possible lifting of customs tariffs on imports of Chinese goods, as well as the launch of a new economic partnership in Asia-Pacific.
“The market has finally been able to catch its breath,” explained Art Hogan, “at least for now. »
Lagarde boosts the euro
The euro jumped 1.19% against the greenback, to 1.0690 dollars, close to its highest level in a month.
Europe’s single currency was reacting to ECB President Christine Lagarde’s announcement that the first rate hike should be decided in July and that the era of negative rates should end by “the end of the third trimester “.
These remarks benefited European banks, which will be able to restore their interest margins with the rise in ECB rates.
In Frankfurt Deutsche Bank jumped 7.01%; Commerzbank by 6.55%. In Paris, Societe Generale took 4.25%.
On Wall Street, JPMorgan was sought (+6.19% to 124.60 dollars). The bank said in a presentation released on Monday that it expects to hit a key return on capital target in 2022, after warning earlier this year it was likely to miss it.
The group pulled behind it the entire banking sector, from Citigroup (+6.07%) to Wells Fargo (+5.16%), via Bank of America (+5.94%).
The M&A market is bubbling
VMware’s share price jumped 24.78% after the Wall Street Journal published information on advanced discussions with the American semiconductor manufacturer Broadcom (-3.10%), with a view to acquiring the remote computing and software company.
Electronic Arts also advanced 2.30%, supported by information from the Puck site that the video game publisher recently had discussions with several potential buyers, including Disney and Apple.
In Europe, the German group Siemens Energy (-0.83% in Frankfurt) will spend four billion euros to own all of Siemens Gamesa (+6.21% in Madrid), its wind power subsidiary in great difficulty. , with the intention of removing it from the stock market, its boss Christian Bruch said on Monday.
Didi will leave Wall Street
Didi Global shareholders have voted to withdraw the Chinese chauffeur-driven car booking group from the New York Stock Exchange (NYSE), the largest US stock exchange, less than a year after the company went public Street. Its stock lost 4.00% in New York.
Oil continues to rise
Oil prices ended up very modestly, slightly supported by the easing of health restrictions in China, which partly reassures demand.
A barrel of Brent North Sea oil for July delivery gained 0.77% to $113.42.
A barrel of US West Texas Intermediate (WTI) for delivery in July, which was the first day of use as a benchmark contract, gained 1 cent (+0.009%) to 110.29 dollars.
Bitcoin was up 2.21% at $29,340.82.