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European stock markets are preparing for a cautious opening, with futures on the EuroStoxx 50 at +0.04% and those on the Ftse Mib at +0.06%. In the meantime, Asian stock markets are traveling in positive territory while awaiting the quarterly reports of Chinese hi-tech giants such as Alibaba and Tencent while Tokyo closed at +0.46%. However, the market’s attention is focused on the data on US inflation, scheduled for tomorrow, and on the words of Fed President Jerome Powell who will speak during the day.
Producer prices are also expected today. Fed Vice Chairman Philip Jefferson said yesterday that with the economy in a strong position in terms of job growth, the central bank can focus “even more” on inflation and keep rates higher for longer . Meanwhile, Wall Street closed the day before the session with mixed results, with the Dow Jones interrupting a series of eight positive sessions in a row. In Europe on the macroeconomic front, Germany recorded inflation rising by 0.5% in April (+2.2% on year), while in the UK the unemployment rate increased to 4.3% in the first quarter. Expected today is the Zew index on German economic expectations and the speech by the president of the Bank of the Netherlands and member of the Governing Council of the ECB Klaas Knot, who could give further indications in the area of monetary policy.
On the stock market, all eyes are on Italgas, which this morning released its quarterly report with net profit growing to 125.3 million euros and revenues down by 10.1%. Two other energy companies will also be called to the test during the day: Hera and A2a. On the currency market, the euro trades at 1.078 dollars (from 1.079 at the previous closing). The single currency is also worth 168.76 yen (from 168.5), while the dollar/yen cross is at 156.45. Bitcoin rose by 2.8% to 62,554.3 dollars. The price of oil rose slightly with June WTI at 79.2 dollars per barrel (+0.1%) and July Brent at 83.44 dollars (+0.1%). Natural gas in Amsterdam grew by 0.7% to 29.7 euros per megawatt hour.
The Tokyo Stock Exchange ended the session with a slight recovery, despite the mixed closing of the US stock indices, with investors looking to the US inflation data expected at the end of the week. The Nikkei reference price list increased by 0.29% to 38,288.50, and a gain of 109 points. On the currency front, the yen loses ground against the dollar again, at a level of 156.40, and at 168.70 against the euro.
