21/05/2024

Flash boursier

Key data

  USD/CHF EUR/CHF SMI EURO STOXX 50 DAX 30 CAC 40 FTSE 100 S&P 500 NASDAQ NIKKEI MSCI Emerging Markets
Latest 0.91 0.99 12'037.99 5'064.14 18'704.42 8'167.50 8'420.26 5'303.27 16'685.97 38'787.38 1'099.79
Trend
 
 
 
 
 
 
 
 
 
 
 
YTD 8.03% 6.39% 8.08% 12.00% 11.66% 8.28% 8.88% 11.18% 11.16% 15.91% 7.43%

(values from the Friday preceding publication)

Inflation showing signs of slowing

Equity markets were last week boosted by macroeconomic data showing a weakening US economy and by a minor slowdown in inflation, which in turn triggered an easing of bond yields. The US 10-year yield fell back below 4.40% while the German counterpart reverted to below 2.50%.

The rise in US consumer prices decelerated slightly in April month-on-month, edging up by 0.3% following a 0.4% increase in the previous month. Year-on-year, inflation was at 3.4% following 3.5% in March.

In contrast, producer prices for April rose by 2.2% year-on-year, in line with forecasts, following an increase of 1.8% in the previous month. This was even worse on a monthly basis, as the PPI delivered a stronger-than-expected acceleration of 0.5% month-on-month following a contraction of 0.1% in March. The Labour Department reported that the 0.5% headline increase worked out as 0.4% when excluding food, energy and business services.

Elsewhere, manufacturing activity in New York State – as measured by the Empire State Index – fell more sharply than expected, dropping from-14.3 in April to -15.6 in May.

On the jobs front, initial jobless claims fell by 10,000 to 222,000 in the week beginning 6 May. Even so, the labour market is showing signs of running out of steam with the four-week moving average, which is representative of the underlying trend, up by 2,500 on the previous week.

Fed chair Jerome Powell has said that he expects inflation to continue to ease throughout 2024, as it did last year, even though his confidence level decreased amid the resurgence of price growth during the first quarter. Therefore, a rate cut in the near future is still a definite possibility.

In Europe the harmonised consumer price index (HCPI), calculated using Eurostat methods, came in at 2.4% year-on-year, in line with expectations. On a month-on-month basis, inflation was slightly lower than expected, at 0.6% versus an estimated 0.8%.

All in all, the S&P 500 ended the week up 1.54% while the tech-focused Nasdaq was up 2.11%. The Stoxx 600 Europe gained 0.42%.

This document is provided for your information only. It has been compiledfrom information collected from sources believed to be reliable and up to date, with no warranty as to its accuracy or completeness.By their very nature, markets and financial products are subject to the risk of substantial losses which may be incompatible with your risk tolerance.Any past performance that may be reflected in this documentis not a reliable indicator of future results.Nothing contained in this document should be construed as professional or investment advice. This document is not an offer to you to sell or a solicitation of an offer to buy any securities or any other financial product of any nature, and the Bank assumes no liability whatsoever in respect of this document.The Bank reserves the right, where necessary, to depart from the opinions expressed in this document, particularly in connection with the management of its clients’ mandates and the management of certain collective investments.The Bank is a Swiss bank subject to regulation and supervision by the Swiss Financial Market Supervisory Authority (FINMA).It is not authorised or supervised by any foreign regulator.Consequently, the publication of this document outside Switzerland, and the sale of certain products to investors resident or domiciled outside Switzerland may be subject to restrictions or prohibitions under foreign law.It is your responsibility to seek information regarding your status in this respect and to comply with all applicable laws and regulations.We strongly advise you to seek independentlegal and financial advice from qualified professional advisers before taking any decision based on the contents of this publication.