The AEX is slightly higher on Tuesday afternoon. Prosus, Galapagos and Philips are in great demand, while Aegon and ArcelorMittal take a step back. Janet Yellens statements strengthen investors in their confidence that the economy will recover strongly from the coronacrisis. They are also looking forward to the upcoming quarterly publications. Banks perform in it varying.
The AEX is 0.3% higher at 652.2 points at three oclock. The AMX drops 0.7% to 970.3 points.
The British FTSE 100, the German DAX and French CAC 40 also hold light profits.
The German ZEW index, which gauges business confidence, rose to 61.8 index points in December, compared with 55 points earlier. Confidence trumped the expectation of 59.4 points.
The index futures indicate profits of 0.7% to 0.9% for the US stock market level meters when opened at 6.30 p.m.
,, The market is waiting for some. Shes awaiting an alien transition of power in Washington Wednesday. There were concerns over the past few days, after additional security checks,” says Renco van Schie of asset manager Valuedge.
,, In addition, the movement towards more stringent lockdowns. The most relevant in the short term is the dollar,” he tips. The euro is 0.5% higher at $1.2133.
,, Because of the weaker dollar, shares abroad benefited from local currencies quoted, such as Asian shares. That can now turn around,” says Van Schie. , But crucial is that the rate of vaccination in the US and Europe is lagging behind expectations. This inoculation provides us with a view to reopening the economy, which should be much quicker.”
Quarterly results were received on Wall Street. Goldman Sachs reported better than expected quarterly results, as was the service provider Haliburton in the oil sector. Bank of America lags behind expectations.
“ Extra Steps”
Former Federal Reserve Chairman Janet Yellen appears today before a special commission in the US Senate. The proposed new Finance Minister stated in a pre-published statement that it is now time to take major steps to guide the US economy through the coronacrisis and prevent a major recession. Biden came up with a plan last week for a $1.9 trillion support package.
, “Yellen wants to put extra investments on top of that, which makes the market positive,” says todays trader Cees Smit, and gives investors even more confidence that the economy will attract from the summer. The fact that vaccination programmes are delayed and the threat of stricter corona measures in Germany and the Netherlands, among others, are less relevant.
Brent oil rose 1.3% to $55.40 a barrel. Energy Agency IEA lowered growth expectations due to the persevering coronapandemic.
According to Bloomberg data, this year the average profit increase in the AEX and AMX falls by 40% on a yearly basis.
Among the Dutch main funds, biotechnology company Galapagos is leading with a profit of 4%, after being put on the buylist by both British Barclays and Morgan Stanley.
Tech investor Prosus follows with 3.2% progress.
Philips picks up 2.2%. The medical technology company has made a bid for an American creator of patient tracking systems for $635 million.
Shell climbs 0.3% after a few less trading days, aided by a price target increase by Credit Suisse and a slight increase in oil prices. “Shell did it very well lately. And I expect President Biden to tackle the oil sector, which will have an effect on the course,” says
Cees Smit of Todays. Sectormate Total bought a 20% minority stake in Adani Green Energy, the developer of solar projects at $2.5 billion.
Large banks such as ING ABN Amro fell to 2%. Smit: “Possibly in response to the figure of 40 million Americans threatened with eviction because they cant pay the mortgage repayment. Those evictions have been stopped by Washington for the time being, but the seriousness is clear. During the credit crisis, ten million Americans were evicted from their homes. Bank shares could therefore be even lower.”
AkzoNobel drops 0.1%, after having surrendered 3.1% on Monday in response to the takeover bid for Tikkurila. Investors fear that the paint producer will go very deep into the pocket, especially because the American rival PPG also has an interest in the Finnish company.
Data supplier Relx is slightly higher after being removed from the sales list by the French bank Exane. Wolters Kluwer plus 0.6%.
Steelmaker ArcelorMittal, loved Monday after favorable news about the Chinese economy, falls 3%. The quarterly figures of miner Rio Tinto were few surprises this morning, except for adividend increase.
Among the medium-sized funds, fertilizer manufacturer OCI is leading at a 1.7% increase. The coffee producer JDE Peets follows with a profit of 0.7%. Protein supplier Corbion (-2%) and biotechnology company Pharming (-1.3%) are at the bottom.
Oil group SBM Offshore loses 1%. Bank of America increased its target from €8.50 to €11.00 with an unchanged underperform advice. The analysts rely on a series of profit warnings in the sector, in the analysis SBM Offshore is explicitly mentioned.
At the smallcaps biotech company Vivoryon is again performing strong with 6% price gains. This year, the Dutch group with German roots has seen a 65% increase.
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