World stock markets, at a five-week low due to the fall in US bonds

World stock markets, at a five-week low due to the fall in US bonds

The performance of the United States Treasury bonds The 10-year bond hit its highest level in ten months on Thursday, supported by fears that interest rates will stay higher for longer. This contributes, along with Chinese economic problemsto which the world stock exchanges are listed at a minimum of five weeks.

The return of the reference notes to 10 years it operates at 4.312%, putting to the test the 4.34% reached in October, whose exceedance would mean its maximum since 2007.

“The reason for the rise is the strong data on US domestic demand. The minutes (from the July meeting of the Federal Reservepublished on Wednesday) seem very old-fashioned, they speak of a gradual slowdown of the US economybut, when you look at the data, we’re not even in a slowdown,” said Samy Chaar, chief economist at Lombard Odier.

The details of the Fed meeting

The minutes showed that the monetary authorities were divided on the need for more rate hikes and some cited the risk to the economy of taking the hikes too far.

He MSCI world stock index down 0.1%, after touching its minimum since July 6; the pan-European STOXX 600 subtracted 0.2%; but, Nasdaq and S&P500 futures are up 0.2%.

The Chinese economy was the other issue on investors’ minds as a spate of economic data and real estate woes highlighted the post-pandemic recovery issues.

The largest index of MSCI Asia-Pacific Stocks excluding Japan fell to its lowest level since late November in early trading on Thursday. Its collapse is around 8% in August, which is its worst monthly result since September 2022.

The iBenchmark indices for Hong Kong and China They are stabilizing slightly, though, at multi-month lows, as investors pin their hopes on possible government stimulus to boost the economy.

He and in It is trading at a nine-month low of 146.57 per dollar earlier in the session, with traders watching for a possible intervention by the Japanese authorities.

In the raw Materialscrude oil prices stabilize and gain 0.9% after three sessions of declines.

Source: Ambito

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