(Updated with futures, bond market opening in Europe, Tokyo closing)
* Major European indices are expected to rebound
* Wall Street rebound after announcement of Musk’s takeover of Twitter
* Asia in the green but COVID-19 in China still a concern
* The “dollar index” retreats after a two-year peak
* New series of company results to follow
by Laetitia Volga
PARIS, April 26 (Reuters) – The main European stock markets are expected to rise on Tuesday at the opening in the wake of the rebound on Wall Street, which should help to put aside economic, health and monetary fears.
Futures contracts indicate an increase of 1.48% for the Paris CAC 40, 1.23% for the Dax Frankfurt, 1.07% for the FTSE London and 1.36% for the EuroStoxx 50.
European stock markets ended in sharp decline on Monday, fears of a Beijing containment in the face of the evolution of COVID-19 in the Chinese capital associated with the prospect of rapid monetary tightening in the United States having fueled doubts about the pace of the growth of the economy.
These uncertainties should remain present, but for the time being, investors seem to want to benefit from the rebound in American equities, and in particular in the technology compartment, following the announcement of the takeover of the social network Twitter by Elon Musk.
In the absence of a major indicator, the session will be moderated by several company publications, including quarterly sales figures from Orange, HSBC and even UBS.
VALUES TO FOLLOW:
AT WALL STREET
Wall Street ended higher on Monday, with the Nasdaq index finishing sharply higher after Twitter (+5.66%) agreed to be bought out by billionaire and Tesla CEO Elon Musk for $44 billion. .
The Dow Jones gained 0.7% to 34,049.46 points, the S&P 500 advanced 0.57% to 4,296.12 and the Nasdaq Composite 1.29% to 13,004.85.
All growth stocks benefited from the announcement on Twitter: Alphabet and Microsoft, which will publish their results this Tuesday after the market, gained 2.9% and 2.4% respectively, while Meta Platforms gained 1.6%.
The oil groups Chevron and ExxonMobil fell 2.1% and 3.4% respectively, penalized like the entire energy sector by the drop of about 4% in crude prices.
The futures contracts give an opening without much change on Tuesday.
IN ASIA
The Tokyo Stock Exchange, the Nikkei index gained 0.41%, benefiting from gains on Wall Street, but concerns related to COVID-19 in China limit the progress of Japanese stocks.
Fujitsu advanced 2.17% after press reports that the computer maker plans to sell its scanner business to Japanese office equipment specialist Ricoh (-1.08%).
In China, the day after a fall of around 5%, the Shanghai SSE Composite recovered 0.7% and the CSI 300 0.21% thanks to expectations of new support measures but fears of an economic slowdown with COVID -19 calls for caution.
Beijing quickly expanded the massive COVID-19 testing campaign from one neighborhood to nearly all of its 22 million residents, fueling the hypothesis of a strict lockdown similar to that introduced in Shanghai on Tuesday. last month.
“If the confinement lasts longer”, it will have a significant impact on the Chinese economy and “also on supply chains around the world”, declared Manishi Raychaudhuri strategist at BNP Paribas.
RATE
The yield on US Treasury bills rose two basis points to 2.847% after being sharply lower the day before with investor interest in safe-haven assets with the health crisis in China.
Its equivalent takes almost four points 0.883% in the first changes.
CHANGES
The dollar lost some ground against a basket of foreign currencies after hitting its highest level since March 2020 the day before, buoyed by concerns over the impact of the lockdown in China and the prospect of a rapid pace of currency hikes. rate in the United States.
The euro is almost stable around 1.0715 dollars, after a two-year low on Monday at 1.0695.
PETROLEUM
Oil prices are trending higher after falling sharply the day before on fears for demand amid China’s COVID-19 restrictions.
Brent gained 1.33% to $103.68 a barrel and US light crude (West Texas Intermediate, WTI) 1.01% to $99.54.
On Monday, they lost 4% and 3.5% respectively.
NO MAJOR ECONOMIC INDICATOR THE AGENDA OF THE DAY (Edited by Matthieu Protard)