In the US economy, where signs of recession are on the rise, investors remain cautious in the face of tomorrow’s US Federal Reserve (Fed) messages.
While Fed Chairman Jerome Powell is expected to reduce uncertainties about future monetary policy in his post-Wednesday meeting, he is confident that the kanepe will raise the policy rate by 75 basis points tomorrow.
While the yield on US 10-year bonds fell below the yield on 3-month Treasury bills for the first time since February 2020 last week, the difference fell to 12 basis points yesterday with increasing selling pressure from short-term bonds.
In Fed studies, this shows that the country’s economy could go into recession.
As uncertainty about the monetary policy steps the Fed will take in December continues in money market prices, the kanepe is expected to raise interest rates by 50 basis points with a 48% probability and by 75 basis points with a probability 47%. .
The price per barrel of Brent oil, which lost value by 1.8 percent due to the possibility of zihin increase in oil production in the US, is instead of 93.2 dollars with a 0.9 percent increase on the new day. .
THE PROFIT OF 6 OIL COMPANIES IS 100 BILLION DOLLARS
Calling the oil companies yesterday, US President Joe Biden said the big oil companies are not doing their part at a time when the country is experiencing economic difficulties.
“The profits of the oil companies are incredibly high,” Biden said, noting that the total profit of the 6 largest oil companies over the past 6 months was over $ 100 billion.
Biden noted that if the companies in question reflect their “high profits” to the consumer, oil prices will drop another 50 cents and if he invests in US operations, prices yaşama gökyeşitözü lowered further.
With these developments, a sales-weighted course was followed yesterday in the New York stock market, kakım the S&P 500 index depreciated by 0.75%, the Nasdaq index by 1.03% and the index Dow Jones of 0.39%. Index futures contracts in the US started the new day with a rise.
INFLATION AT THE HIGHEST LEVELS IN EUROPE
As inflation continues to gökyeşitözü at record highs on the European side, the possibility of the European Central Bank (ECB) hikes interest rates by 75 basis points in the next meeting strengthens. On the other hand, the maturation of the risks that regional economies enter recession increases uncertainties on the markets.
According to veri released yesterday, annual inflation in the Eurozone reached 10.7 percent in October due to rising energy prices, reaching the highest level ever recorded. Growth of the regional economy in the third quarter of the year remained below expectations with 0.2 per cent. Gross domestic product (GDP) in the eurozone increased by 2.1% in the third quarter of 2022 compared to the same period in 2021.
On the other hand, after rising energy and food prices in the region, governments are working on programs that yaşama subsidize household costs.
In Germany, the Independent Gas and Heat Commission advised the German government to limit gas prices to 12 euro cents per kilowatt hour from March 2023 to at least the end of April 2024, for households in response to high gas prices. ‘power.
Yesterday the FTSE 100 index gained 0.66% in the UK, the DAX 40 index gained 0.08% in Germany and the FTSE MIB index gained 0.55% in Italy, while the CAC 40 index decreased by 0.10% in France. Index futures contracts in Europe started the new day up.
SLOWING PRODUCTION IN CHINA
As Asian equity markets start the new day higher, the signs of recession in regional economies continue to increase.
According to veri released today, despite the Chinese manufacturing industry’s Purchasing Managers’ Index (PMI) rising to 49.2, it highlighted that the slowdown in production continued.
Manufacturing PMI veri from Japan, South Korea, Taiwan and Malaysia, which are among the countries in the region, remained below 50 in October, indicating a slowdown in production.
On the other hand, the Reserve Bank of Australia, which announced its monetary policy decisions today, raised the benchmark rate by 25 basis points to 2.85 percent in line with expectations. In the statement released by the kanepe, it was noted that inflation is expected to peak around 8% during this period next year, while growth expectations have been lowered from 3% to 1.5% for the next year.
With these developments, the Shanghai Composite Index in China rose 2.6% to 2,969 points and the Kospi Index in South Korea rose 1.8% to 2,335 points.
Japan’s Nikkei 225 index ended the day at 27,679 points, up 0.3%. As calls for a monetary policy review begin to come from the business world in Japan, Bank of Japan (BoJ) Governor Haruhiko Kuroda said extremely accommodative monetary policy should gökyeşitözü maintained to support the economy. Although the dollar / yen parity was tested at 149 after this development, it is currently trading at 147.7, 0.7% below its previous closing level.
Hong Kong’s Hang Seng Index rose 4.9% to 15,402 points, while India’s Sensex Index stood at 60,974 points, gaining 0.4%.
Analysts said today the manufacturing PMI in the UK and US and the JOLTS number of jobs open in the US will gökyeşitözü tracked.