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“,”postId”:”46efaad6-93e7-4df2-9be0-11a8457ed338″}],”posts”:[{“timestamp”:”2024-08-05T20:55:00.471Z”,”timestampUtcIt”:”2024-08-05T22:55:00+0200″,”altBackground”:false,”title”:”This liveblog ends here”,”content”:”
The live blog ends here: for all updates follow the live of Sky TG24
“,”postId”:”bdcb841f-86ee-430c-8e37-9ccc039be6e6″},{“timestamp”:”2024-08-05T20:15:57.470Z”,”timestampUtcIt”:”2024-08-05T22:15:57+0200″,”altBackground”:false,”title”:”The euro at 1.0959 dollars after the close of Wall Street”,”content”:”
The euro is trading at 1.0959 dollars after the close of Wall Street. The single currency gains 0.43% against the greenback.
“,”postId”:”c36f21df-5df6-44f4-ada7-976ff3ede9a4″},{“timestamp”:”2024-08-05T20:12:55.389Z”,”timestampUtcIt”:”2024-08-05T22:12:55+0200″,”altBackground”:false,”title”:”Wall Street closes heavy, DJ -2.60%, Nasdaq -3.43%”,”content”:”
Wall Street closes with one of its worst losses in nearly two years. The Dow Jones gives up 2.60% to 38,703.27 points, the Nasdaq slips down by 3.43% to 16,200.08 points, while the S&P 500 leaves 3.00% on the table at 5,186.33 points.
“,”postId”:”c319e79f-276e-4f05-b027-cb2b372cb05e”},{“timestamp”:”2024-08-05T19:36:08.541Z”,”timestampUtcIt”:”2024-08-05T21:36:08+0200″,”altBackground”:false,”title”:”Giorgetti: “Markets pay for the euphoria of recent months””,”content”:”
“Indeed, as often happens, gusts from the East and the West are impacting the markets. There have been problems in the East and the markets are paying for the euphoria that has been present in recent months. I think values must correspond to reality; if you put some labels to give value” as has happened in the high-tech and artificial intelligence sector “then there can be surprises”. This was stated by the Minister of Economy and Finance, Giancarlo Giorgetti, speaking at the Festa della Lega Romagna in Cervia, discussing the ‘black Monday’ of international stock exchanges.
“,”postId”:”a3f9b8f9-df48-4dc5-b15f-dce1c258af7c”},{“timestamp”:”2024-08-05T18:45:35.573Z”,”timestampUtcIt”:”2024-08-05T20:45:35+0200″,”altBackground”:false,”title”:”The fear index slows down after a record jump”,”content”:”
The Vix index, known as the ‘fear index’, is recovering after having made a jump of 181% this morning, going from 23.39 to 65.73 points, in what was the strongest spike since 1990. The Vix, gauge of expected volatility over 30 days from the S&P 500 index and thus of the anxiety of the American stock market, advances ‘only’ by 45% to a level of 34, a level that marks the highest since March 2022, at the dawn of the war in Ukraine. With this morning’s jump, the index had updated its peaks since the beginning of 2020, when the Covid pandemic erupted.
“,”postId”:”9f178283-92da-474e-a59a-4ea3b9c14694″},{“timestamp”:”2024-08-05T18:39:23.563Z”,”timestampUtcIt”:”2024-08-05T20:39:23+0200″,”altBackground”:false,”title”:”Trump: “With Harris, the crash””,”content”:”
Trump attacks Harris for the collapse of the stock markets: “A preview of the global markets if she wins”. Clouds of a recession threaten to question the previously positive results of ‘Bidenomics’, with inevitable repercussions on Harris. So far, the U.S. could boast the fastest-growing economy, but the latest employment data shows a sharp cooling of the labor market and sparks fears of a “hard landing”. September will tell if the U.S. has formally entered recession. A scenario that could penalize Harris and that Trump is already riding. “Trump cash vs. Kamala crash. Voters have a choice: prosperity with Trump or the crash and the great depression of 2024 with Kamala,” he warned on Truth, also warning about “the probability of a third world war if these very stupid people stay in power”.
“,”postId”:”c94b4de9-5a9e-4be3-a54a-96af79b50f07″},{“timestamp”:”2024-08-05T17:43:05.247Z”,”timestampUtcIt”:”2024-08-05T19:43:05+0200″,”altBackground”:false,”title”:”The markets call for the Fed”,”content”:”
In the face of such turbulence, the market has begun to call for the Fed’s repair intervention, accused of having tightened the noose around the U.S. economy too tightly. While bets on an emergency cut have cleared, many are calling for vigorous cuts in the cost of money: JPMorgan and Citi hypothesize two cuts of 50 basis points in September and November and one of 25 in December. These prospects have crushed the dollar, which fell to 1.1 against the euro and collapsed by 3% against the yen, and caused a normalization of the yield curve, ‘inverted’ since July 2022. This last event is considered the precursor to an imminent recession. The Fed “must cut rates. They have been foolish not to have done it yet,” wrote Elon Musk on X. An emergency cut “could signal panic,” noted Nobel laureate Paul Krugman, but in the presence of true panic “such an argument loses its power”. Fed member Austan Goolsbee poured cold water on the fire: the employment data is for now just “a number” and “does not yet indicate a recession”. However, if one of the Fed’s goals – including full employment and financial stability – were at risk, “we would have to react more robustly” because with a recessionary economy “it would not make sense to maintain a restrictive policy”.
“,”postId”:”f939f1ed-3e48-4186-8448-e1f01f46c49d”},{“timestamp”:”2024-08-05T16:45:00.952Z”,”timestampUtcIt”:”2024-08-05T18:45:00+0200″,”altBackground”:false,”title”:”Managers and economists divided on the prospects of the stock exchanges”,”content”:”
Economists and managers are divided on the prospects of financial markets after the downturns last Friday and today. “Many are wondering if the market is overreacting. The price is what you pay and the value is what you get. The price of risky assets has been too high, and the value (i.e., the capital yield) has been below expectations. Volatility is the market adjusting to erroneous hypotheses, which brings us back to the previous issue: the market’s expectations regarding outcomes, in our view, were too high. Although revenues or earnings have yet to collapse, the markets are discounting them before this happens through indirect evidence, as may have happened last week,” comments Robert Almeida, Global Investment Strategist & Portfolio Manager at MSF IM regarding the stock market crash. More optimistic Álvaro Sanmartín, Chief Economist, Amchor IS. “The unemployment data from Friday in the U.S. was weak, but one cannot forget that it was influenced by adverse weather events – emphasizes the economist. – In this sense, we expect the August data to be significantly better and that this will help reassure the market before the end of the third quarter”.
“,”postId”:”4411be71-ecce-4cb8-ba5f-06dd6b12bcfe”},{“timestamp”:”2024-08-05T16:10:00.679Z”,”timestampUtcIt”:”2024-08-05T18:10:00+0200″,”altBackground”:false,”title”:”Milan burns 15 billion: -55 in total”,”content”:”
On the main list of Piazza Affari, another 15 billion euros of capitalization were burned today, bringing the losses recorded by the Milan stock exchange to nearly 55 billion euros in three sessions.
“,”postId”:”0fb58a4b-3a92-4ce3-b472-c725a7b68721″},{“timestamp”:”2024-08-05T16:02:04.554Z”,”timestampUtcIt”:”2024-08-05T18:02:04+0200″,”altBackground”:false,”title”:”The lists at Piazza Affari”,”content”:”
Weighing on the Milan list were mainly the drops of Nexi (-6%), Erg (-4.8%), Saipem (-4.4%), Hera (-4%), Stm (-3.9%) and Snam (-3.8%). The banking and financial sector also fared poorly with Azimut (-3.6%), Unipol (-3.4%), Mps (-3.1%), Generali (-3%) and the energy sector with Enel (-2.9%). The only stock unchanged in the Ftse Mib is Leonardo, while Interpump manages to limit losses to 0.2%.
“,”postId”:”98929343-dddc-499f-9c4a-ded99cd826f3″},{“timestamp”:”2024-08-05T15:55:47.607Z”,”timestampUtcIt”:”2024-08-05T17:55:47+0200″,”altBackground”:false,”title”:”BTP-Bund spread at 149.7″,”content”:”
The spread between Btp and Bund closed the session up by just under 4 basis points, standing just below 149.7, in a session that penalized all assets considered risky by investors. The yield on Italian bonds rose by five basis points to 3.68%.
“,”postId”:”2e976039-bd87-42da-84e4-0848b82b0b4d”},{“timestamp”:”2024-08-05T15:46:23.320Z”,”timestampUtcIt”:”2024-08-05T17:46:23+0200″,”altBackground”:false,”title”:”Milan worst stock exchange in Europe”,”content”:”
Milan closed with the worst result in Europe, at -2.27%. But the close is heavily down for all European stock exchanges, under pressure, like the global indices, due to fears of an American recession and a ‘bubble’ in the technology sector. London closed down 2.04%, Frankfurt down 1.82% and Paris down 1.42%, with the indices reducing losses in the afternoon alongside Wall Street, after the ISM services index in the U.S. increased in July beyond expectations.
“,”postId”:”65a2942f-d200-4d46-9f90-d800bafb4e6a”},{“timestamp”:”2024-08-05T15:42:14.523Z”,”timestampUtcIt”:”2024-08-05T17:42:14+0200″,”altBackground”:false,”title”:”Milan closes at -2.27%”,”content”:”
Heavy closure for Piazza Affari: the Milan list closed down by 2.27%, at 31,293 points, containing losses in the afternoon, after having reached a loss of up to 4.3% in the morning.
“,”postId”:”e54673ea-650f-4592-9329-11d5589259fc”},{“timestamp”:”2024-08-05T15:38:37.508Z”,”timestampUtcIt”:”2024-08-05T17:38:37+0200″,”altBackground”:false,”title”:”Wall Street reduces losses again”,”content”:”
Wall Street remains in the red but reduces losses again, with all three indices below 3%. The Dow Jones is down 2.37% at 38,794.37 points, the Nasdaq has risen to -2.59% at 16,342.09 points, while the S&P 500 is at -2.42% at 5,216.96 points.
“,”postId”:”4264f7ac-2fe4-41ac-980e-4fd42c1f8970″},{“timestamp”:”2024-08-05T15:15:00.517Z”,”timestampUtcIt”:”2024-08-05T17:15:00+0200″,”altBackground”:false,”title”:”Along with the stock exchanges, gold and silver also fall”,”content”:”
Gold prices are losing ground: the spot contract on the yellow metal has fallen by 3.2%, the largest daily decline since early June, and is now down 2.1% at 2,389.8 dollars an ounce. Other precious metals are down as well, starting with silver, which is falling by 7.2%. Essentially, it is explained that investors are liquidating positions in gold to cover losses on stock equities. According to Adrian Ash, director of research at BullionVault, a precious metals trading platform, “it is common for gold to fall like stocks, but it falls less and from a higher level before finding its floor.” Despite the ongoing sharp reduction, gold is still up about 15% this year. In July, it reached record highs, boosted by purchases from central banks and Asian investors, Bloomberg recalls. Expectations for a rate cut by the Federal Reserve, the U.S. central bank, have also increased, which is positive for the yellow metal, which does not yield interest. Increasing geopolitical tensions in the Middle East should also support the price of the ultimate safe haven asset.
“,”postId”:”b99ed064-e707-4ba7-b167-96292dfaf693″},{“timestamp”:”2024-08-05T14:46:00.196Z”,”timestampUtcIt”:”2024-08-05T16:46:00+0200″,”altBackground”:false,”title”:”The Fed waiting ‘normalizes’ the U.S. yield curve”,”content”:”
Bets on a shift of the Fed on rates restore order in the American yield curve, putting an end to an inversion that had lasted since July 2022. The yields on ten-year Treasuries are now surpassing those on two-year bonds, after the Fed’s monetary tightening, which had raised rates to their highest in 23 years, is now considered finished. The inversion of the curve, the Financial Times notes, is considered a leading indicator of a recession that could occur between six months and two years, while the normalization of the curve generally occurs just before the onset of the recession.
“,”postId”:”aa934f4d-d6d5-4180-9e31-90c5f7f3d471″},{“timestamp”:”2024-08-05T14:35:55.316Z”,”timestampUtcIt”:”2024-08-05T16:35:55+0200″,”altBackground”:false,”title”:”Wall Street reduces the red, DJ -2.39%, Nasdaq -3.67%”,”content”:”
Wall Street remains in deep red after the publication of the ISM index but reduces losses. The Dow Jones is at -2.39% at 38,787.13 points, the Nasdaq has risen to -3.67% at 16,151.91 points, while the S&P 500 is at -3.00% at 5,186.31 points.
“,”postId”:”240148b8-10ca-464e-a31f-ac2866235aa6″},{“timestamp”:”2024-08-05T14:35:26.875Z”,”timestampUtcIt”:”2024-08-05T16:35:26+0200″,”altBackground”:false,”title”:”The ISM index for U.S. services rises above expectations in July”,”content”:”
The U.S. services sector returns to an expansion phase in July. The ISM purchasing managers’ index (PMI) registers a level of 51.4, above the threshold of 50 that separates an expansion phase from a contraction phase in economic activity. In June, the index had dropped to 48.4 after suffering its worst setback in four years. The rebound in July, exceeding economists’ expectations (51), could help alleviate fears about the state of the U.S. economy triggered on Friday by labor market data.
“,”postId”:”f2d4c215-5524-4152-a5e6-240feceda3ea”},{“timestamp”:”2024-08-05T14:31:21.212Z”,”timestampUtcIt”:”2024-08-05T16:31:21+0200″,”altBackground”:false,”title”:”Europe reduces the decline with Wall Street, Milan at -2.4%”,”content”:”
European stock exchanges reduce losses following Wall Street as the ISM services index in the U.S. rebounds in July, beyond analysts’ expectations, helping to ease concerns about the strength of the American economy. Milan is down 2.4%, London down 2.2% and Paris down 1.8% while in New York, the Nasdaq reduces the decline to 3.6% and the S&P 500 to 3%.
“,”postId”:”078972ba-45ce-4462-a777-cdafa43d2194″},{“timestamp”:”2024-08-05T14:31:00.117Z”,”timestampUtcIt”:”2024-08-05T16:31:00+0200″,”altBackground”:false,”title”:”Musk: “Fed must cut rates, foolish not to have done it yet””,”content”:”
The Fed “must cut rates. They have been foolish not to have done it yet.” This was written by Elon Musk on X, commenting, in a response a few hours ago, on the recent monetary policy choice of the American central bank to which markets have reacted negatively worldwide. Last week, American bankers left rates unchanged, postponing the possible cut to the meeting on September 17-18.
“,”postId”:”04c18fa1-5114-43c9-953f-a51c26f3d69e”}]}