Black day for the New York Stock Exchange and the tech sector in particular: the hell was unleashed by the terrible data from the PMI and ISM manufacturing, which relaunched concerns about a possible recession of the US economy, but leading the declines is the stock of Nvidia. The ghosts of early August are returning when a heavy sell-off was recorded after a weak report on employment.
It closes with a drop of 1,51% Dow Jones; a day to forget for theS&P-500, which stops at 5.529 points, retracing by 2,12%. The bad Nasdaq 100 (-3,15%); as well as a sharp decline in the S&P 100 (-2,31%). The IT (-4,43%), energy (-2,41%) and telecommunications (-2,34%) sectors fell the most. Among the major losses to be reported Intel, which ended trading at -8,73% and Nvidia, with a decrease of 9,53% after the Total Semiconductor Sales decreased by 11% in July, compared to the previous month
The manufacturing Ism, the index that measures the performance of the manufacturing sector in the United States, remained in contraction in August, rising to 47,2 points, against expectations for 47,9 points, from 46,8 in July (confirmed). The index thus recorded the twenty-first month of contraction in the last twenty-two. Construction spending fell by 0,3%, against the consensus increase of 0,1%.
Among the macroeconomic events that will have the greatest influence on the performance of the US markets today are: 14:30 p.m.: Trade balance (expected -78,8 billion dollars; previous -73,1 billion). 16:00 p.m.: Industrial orders, monthly (expected 4,6%; previous -3,3%)
Asia Follows Wall Street: Tokyo Loses 4,2%
The Asian stock markets also fell in the red, following the collapse of Wall Street, with Tokyo closing at 4,2%, the worst session since the catastrophic -12,4% on August 5. Here too, as on Wall Street, tech is especially down, after the -7,7% of the SOX semiconductor index. Softbank -7% and Tokyo Electron -7,5%.
High-tech company sell-offs also penalize the stock market Taiwan, TAIEX -3,9%. The KOSPI index also fell sharply Alone, -3,1%. The bags of China are falling relatively less. Hang Seng in Hong Kong -1,1%, CSI 300 of the Shanghai and Shenzhen stock exchanges -0,3%. Concerns are growing about the state of health of the Chinese economyCaixin China's services purchasing managers' index fell to 51,6 in August overnight, from 52,1 the previous month, Caixin and S&P Global said, below expectations of 51,8.
Il Petroleum WTI type stay weak, just under seventy dollars a barrel, at its lowest since December: yesterday Texas crude oil lost the 4,4% as investors expect the political dispute in Libya, which is blocking exports, to be resolved and concerns about slower growth in global demand. Yen appreciates at 145,3: the cross rises to 145,3 this morning, from 146,2 on Monday. Bank of Japan Governor Kazuo Ueda reiterated yesterday that the central bank will continue to raise interest rates if the economy and prices behave as expected.
European stocks: eyes on Commerzbank, Eni, Snam and Saipem
After the Wall Street crash and the fall of the Asian stock markets, the European stock exchanges they can only open in decline, as suggested by the EuroStoxx 50 index future, down 1,4%. Today's macro data agenda includes the PMI for the Eurozone and some European countries, such as Italy, France and Germany.
Commerzbank. The German federal government has decided to reduce its stake in Commerzbank and to "start the process of exiting" the capital of the institution. This is according to a statement, in which it ensures that "the sale will be transparent, non-discriminatory and market friendly". The federal government's investment in Commerzbank in 2008 and 2009 was "important to protect the stability of the financial markets in the midst of the banking crisis" but now "Commerzbank is again a stable and profitable institution" and accordingly "the federal government will gradually sell its shares in the successfully stabilized institution", said Florian Toncar, undersecretary of the Federal Ministry of Finance. Currently, the German federal government still holds a 16,49% stake in the bank through the Financial Market Stabilization Facility (FMS).
Eni – Flotation Energy and Vargronn (a joint venture between Eni subsidiary Plenitude and private equity firm HitecVision) have won a contract for the Green Volt floating offshore wind project in Britain’s latest renewables auction. The £2,5 billion ($3,28 billion) project, which is expected to have a capacity of up to 560 megawatts, is expected to become the world’s largest floating offshore wind farm backed by government incentives. It will be located 80 kilometres off the coast of north-east Scotland.
Saipem – It has been awarded two offshore contracts in Saudi Arabia under its existing Long-Term Agreement (LTA) with Saudi Aramco for a total value of approximately $1 billion, a statement said.
Snam – Successfully completed the placement of the first perpetual subordinated bond issue, with a nominal value of 1 billion euros. The transaction will finance the possible acquisition of Edison Stoccaggio. Demand exceeded supply by more than 4 times, with orders of over 4,5 billion euros.
Bank of Desio and Brianza placed a 500 million covered bond with a 5-year maturity aimed at institutional investors: priced with a coupon equal to 3% and a yield equal to mid swap +62 bps, the bond recorded orders exceeding EUR850 million during the placement.
stellantis – Bob Broderdorf has been named head of Jeep North America, effective immediately. Bill Peffer assumes leadership of network development, also in North America.
Avio – Due to electrical problems on the ground connections, the VV24 launch schedule for today has been interrupted. This was stated in a note from the company, underlining that checks are underway for a new launch attempt tonight.
Ferretti – Stefano de Vivo has left his position as Chief Commercial Officer of Ferretti Group and Managing Director of Wally.
Saras – Based on the final results of the reopening of the terms of the takeover bid promoted through the financial instrument Varas, Vitol will come to hold approximately 95,285% of the share capital of the issuer. Vitol reports in a note.
