by Marc Angrand
PARIS (Reuters) – The main stock markets in the euro area are expected without much change on Monday for the first session of 2022, in the absence of a large part of investors due to the extension of the holiday truce.
Futures on indices suggest a rise of 0.05% for the Dax in Frankfurt and a decline of 0.08% for the EuroStoxx 50 while the CAC 40 in Paris could rise by around 0.15% depending on the market. first indications available. The London market will remain closed on this first working day of the year.
In a context still strongly marked by the health situation, this first session of the year will be animated mainly by the publication of the final results of the IHS Markit surveys among purchasing managers in the manufacturing sector in the euro zone. These PMI indices are expected to confirm the growth in activity despite the spread of the Omicron variant of the coronavirus and lingering tensions in supply chains.
Investors are also watching for possible new developments in the case of ailing Chinese real estate developer Evergrande, which announced the suspension of its listing in Hong Kong without specifying the reason.
The New York Stock Exchange ended lower but close to its record on Friday the last session of a year dominated by the continued economic recovery and rebound in corporate profits.
The Dow Jones index lost 0.16%, or 59.78 points, to 36,338.3, the Standard & Poor’s 500 lost 12.55 points (-0.26%) to 4,766.18 and the Nasdaq Composite lost down 96.59 points (-0.61%) to 15,644.97.
All three show positive performances for the month of December and the fourth quarter and the year 2021 ends with an increase of 18.7% for the Dow Jones, of 26.9% for the S & P-500 and of 21.4 % for the Nasdaq, which also recorded their strongest three-year increase since 1999.
The major futures contracts so far suggest an open up 0.3% to 0.5%.
IN ASIA
Japanese and mainland Chinese markets remain closed for the New Year.
In Hong Kong, which recorded the worst performance of the major global stock markets in 2021 with a decline of 14.1%, the Hang Seng index lost 0.48% in very small volumes, once again penalized by concerns related to the health of the Chinese real estate sector: the sector index drops 3.06%.
CHANGES / RATES
Volumes are also reduced on the currency market, where the dollar shows a symbolic decline against other major international currencies (-0.05%).
The greenback, however, rose against the euro, which fell to 1.1339 dollars after posting a six-week high at 1.1386 on Friday.
On the government bond side, the yield on ten-year US Treasuries edged up to US10YT = RR; RT_YIELD_1%.
OIL
The oil market started the year in the green after the announcement on Saturday of a decrease in Libyan deliveries of 200,000 barrels per day for a week due to maintenance work on an oil pipeline.
Brent gained 0.9% to 78.48 dollars a barrel and American light crude (West Texas Intermediate, WTI) took 0.93% to 75.91 dollars.
Investors await Tuesday the meeting of OPEC + countries, which must discuss their production strategy. According to four sources, the Organization of the Exporting Countries and its allies should stick to an increase in their offer of 400,000 bpd for February.
(Edited by Maztthieu Protard)
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