The US economy sends out a positive signal but, contrary to what one might imagine, the markets don't like it. The S&P/Case Shiller US home price index rose 0,9% month over month and 1,2% year over year. Analysts, compared to June, had expected a growth of 0,5%.
But the market reaction was negative. In fact, investors are waiting for the statements that this weekend the Governor of the Federal Reserve, Ben Bernanke, will announce at the Jackson Hole meeting of the world bankers, hoping to see announced a third wave of quantitative easing. Today, however, it is feared that this sign of recovery in the American economy could push Bernanke to backtrack.
And indeed, a few minutes after the news of the Shiller index, the European stock exchanges turned red with Milan losing 0,22%, London marks -0,29% and Frankfurt -0,58%. Spain is the black jersey, after the second-half GDP data which contracted more than expected (Ibex -0,97%). Also Wall Street opens negative with the S&P500 at -0,05%, the Nasdaq at -0,17% and the Dow Jones at -0,20%.
