The stock price looks tired at the start of this quarter. Namely, at the beginning of Tuesday’s trading session, the US stock market opened in quite convincing negatives, where the value of the US Standard & Poor’s 500 index managed to fly down by 0.9%. At the end of the day, stocks of large European companies did not fare much better either.
It appears that market participants are at least partially surviving on good data. In other words, the economy is already considered hot enough that it will require lower interest rate cuts. The speculation is that the US dollar rates may not decrease all three times this year. This is despite the fact that the US Federal Reserve itself has recited something roughly the same (by three times).
The bonfire of higher inflation speculation, which provides a good background for thoughts of prolonged high inflation in general, was also fueled by the increase in raw material prices.
A sell-off in benchmark bonds was also observed today. The yield on US 10-year debt rose from around 4.2% to almost 4.4% in a short period of time.
All in all, it may not take much for the major stock markets to break the bank with their recent strong price gains.
Baltic shares rose slightly today – by 0.14%. From company news, Apragna revealed that its March turnover grew by almost 14% year-on-year. In the entire first quarter, it increased by 11%. The price of the clothing share jumped by 2% today.
