Political problems are not easing in Japan, France e United States and in technology sector one begins to suffer from a sense of vertigo due to too much height, and then investors turn to their favorite safe haven investment, thegold, pushing it for the first time above the $4.000 an ounce mark. Wall Street closed lower yesterday and Asian stock markets, mostly still closed for holidays, had to settle for a level similar to the Tokyo Stock Exchange. Euro/Dollar exchange rate fell below its 100-day average for the first time in a year, declining 0,37% to $1,1612.
Investors are watching the political world with trepidation French, where President Emmanuel Macron He is under increasing pressure to resign or call early parliamentary elections, following the resignation of his fifth prime minister in less than two years. The risk premium on French government bond yields is near a nine-month high.
Gold surpasses $4.000 an ounce. Silver, platinum, and palladium also surge.
To say spot gold is booming is an understatement: the incredible 50% gain so far this year, its strongest annual rise since 1979, comes on top of a 27% surge in 2024 and a 13% increase in 2023. Just two years ago, it was trading below $2.000; today, it has risen to $4.021 an ounce, with returns that surpass those of equities this century. The metal surpassed $1.000 an ounce in the aftermath of the global financial crisis, $2.000 during the Covid pandemic, and $3.000 when the Trump administration's tariff plans rocked global markets in March.
However, the interest of investors for all things gold remains insatiableAccording to data from the World Gold Council, global inflows into gold ETFs have reached $64 billion since the beginning of the year, with a record $17,3 billion in September alone.
Among the reasons behind this unprecedented rally are widespread expectations of a rate cut by the Federal Reserve in the near term, concerns about geopolitical and economic uncertainties, along with fears of an imminent bursting of the artificial intelligence bubble.
This likely means there's still room for further gains due to rising geopolitical tensions, and that's a worrying sign. This week, Goldman Sachs raised its gold forecast for December 2026 to $4.900 an ounce, up from $4.300 previously.
Among other precious metals, thesilver rose 1,2% to $48,42 an ounce, while platinum and palladium they have gained ground.
Wall Street reverses. Oracle and Tesla collapse.
All three US indices closed in negative territory yesterday after a survey by the New York Federal Reserve showed a worsening consumer expectations and an increase in projections on theinflation. Investors, due to the US government shutdown which entered its eighth day, have had to rely on secondary, independently produced data, along with comments from monetary policymakers, to assess the likelihood that the Federal Reserve will implement its second rate cut of the year at this month's monetary policy meeting. Market participants are pricing in 45 basis points of easing this year, bringing annual gains to over 50%.
The S&P 500 Index has lost ground, as have technology stocks, as concerns have grown that the rally from the April lows was excessive, and investors are now eagerly awaiting the next corporate earnings season for reassurance. Some Wall Street experts have noted that the fact that several large technology stocks are posting double-digit gains in quick succession could be a sign that valuations have diverged from underlying fundamentals. Dow closed down 0,20%, S & P 500 at -0,38%, Nasdaq at -0,67%
Tesla AMD fell 4,5% after the electric carmaker unveiled its low-cost Model Y, priced under $40.000, making its flagship vehicles more affordable to offset the loss of US incentives for electric vehicles. AMD rose 3,8% after Jefferies raised its rating to "buy" and other brokerage firms raised their price targets the day after the chipmaker's supply deal with OpenAI. Dell Technologies (+1,07%) nearly doubled its growth estimates for sales and profits for the next two years and said that demand for artificial intelligence products will extend these higher projections at least through fiscal 2030. Shares of Oracle infrastructures Oracle shares plunged after a report was released that found the software maker's profit margin in its cloud computing business was lower than many on Wall Street had estimated. Although Oracle generated about $900 million in revenue from leasing servers based on Nvidia Corp. chips in the three months ended August, the company posted a gross profit of just $125 million, according to Information, citing internal company documents. Oracle shares fell as much as 7,1% before recovering much of the decline, while Nvidia lost up to 0,6%.
Asia weighs down by the decline in tech stocks. Japanese government bonds rise.
Le Asian stocks they were preparing for their biggest drop in two weeks, with the MSCI index of global stocks moving away from its all-time high after a seven-day rally.
While most Asian markets continue to closed for holidays, the index Nikkei Tokyo Stock Exchange is around par after two consecutive record-breaking sessions. Yields rise of the ten-year government bond, at 1,68%, highest in the last fifteen years. The yen slipped to its lowest level against the U.S. currency since February, as the surprise victory of Sanae Takaichi as the new leader of the governing Liberal Democratic Party, seen as a supporter of heavy public spending e monetary easing. Takaichi could meet Trump as early as next October 28th. Among the main titles, Alibaba marks a drop of 1,94% and Hsbc a -1,17%.
Lo yen weakened to 152,34 against the dollar, also reaching a new record against theeuro since the single currency was introduced in 1999. Wages in Japan rose at the slowest pace in three months, while real wages continued to decline, according to data released today.
The bag of Hong Kong is down, Hang Seng index -1%. The Taiex also falls Taipei, -0,5%. The stock markets in China and South Korea remain closed. The stock market in the United States rose slightly.'India, Mumbai's BSE Sensex index up 0,3%. World Bank It has cut its economic growth forecast for South Asian countries by nearly one percentage point, partly because of heavy tariffs imposed by the United States on India.
The pause in the rally came after investors cheered this month on a wave of AI alliances, involving OpenAI, Nvidia Corp. and Asian tech companies such as Hitachi Ltd. and Fujitsu Ltd. Elon Musk-backed artificial intelligence startup xAI is also raising more funding than initially expected, including an equity investment from Nvidia, to bring its ongoing funding round to $20 billion.
Petroleum WTI +1% to $62,40 a barrel. Bitcoin at 121.270 dollars, -0,6%.
European stock markets opened little changed. At the Milan Stock Exchange, eyes were on Eni and Ferragamo.
European stock markets expected to see little change at the start of the session: Eurostoxx 50 futures down 0,04%.
GermanyGerman industrial production fell more than expected in August: -4,3%, after a 1,3% decline in July. Economists had estimated a 1% decline. On an annual basis, the decline was 3,9%, down from a 1,5% decline the previous month. The figure, excluding energy and construction, recorded a 5,6% decrease on a monthly basis. Energy production fell 0,5%.
Ferragamo. Mediobanca raised its rating from Underperform to Neutral. The new target price is €5,40, up from €5.
Anima – Net collections for September amounted to 242 million euros.
Monte dei Paschi Bank Following the acquisition of Mediobanca, it presented a list of candidates for the board of directors, which shareholders will vote on October 28. Alessandro Melzi d'Eril is proposed as CEO and Vittorio Grilli as chairman.
Bper – JP Morgan held 4,463% of the bank's capital as of October 1st. These are the latest figures from Consob.
Eni The company and YPF, Argentina's leading energy company, are successfully advancing the project to export liquefied natural gas from the Vaca Muerta basin. A final decision on the investment is expected soon, according to Foreign Minister Antonio Tajani.
Leonardo – It has signed a new €1,8 billion ESG-linked revolving credit facility with a pool of international and domestic banks for a five-year term. The new facility replaces the current Revolving Credit Facility, reducing the margin by 30% and extending the maturity to 2030.
