Investing.com – A decidedly negative start for major European stock exchanges amid declines on Wall Street and Asian stock markets.
Yesterday Il lost 1.2%, 1.4% and 2.3%, followed by Tokyo which achieved its worst performance since Covid: -5.6%.
A sharp drop in the ISM Manufacturing index, along with a sharp increase in new claims for unemployment benefits, caused US stock markets to tumble. On Wednesday, the American Central Bank still kept rates stable between 5.25 and 5.50%, opening up to a first cut at its next meeting in September. However, based on the latest data, according to some analysts it will still be too late to counter the inversion of the economic curve.
Instead, the Bank of Japan preserved the freeze in Asian stock markets by adopting a hawkish attitude, reversing the monetary policy that had until now supported the Tokyo Stock Exchange.
Boj, in fact, decided to increase interest rates by 25 basis points and announced the possibility of further increases during the year.
Exacerbating the situation is the fall of Intel (NASDAQ: ) (-20% in post-market trading) which, after a disappointing quarter, launched a 10 billion cost cutting plan. The tech giant has decided to suspend the dividend and lay off 15% of its employees.
So today at 10 am it is down 1.34% to 32,418 points, weighed down by selling in banks, which are nevertheless worried about possible cuts in interest rates, and the decline in STM (EPA:).
The worst among the main European stock exchanges, however, was Amsterdam -1.63%, dragged down by semiconductors ASML (AS:) (-6.5%).
The Frankfurt market also fell sharply (-1.18%). Paris (: -0.42%), Madrid (: -0.33%) and London (: -0.27%) are trading in the red, albeit with smaller losses.