EUROPEAN STOCK MARKETS END DOWN SLIGHTLY

European stock markets ended the first session of the second half of the year down on Wednesday but far from their lows of the day after the publication of good economic indicators and the promising results of a study on a vaccine against the coronavirus, whose spread in the world continues to worry.

After spending much of the day in the red, the European indices briefly rebounded in the wake of Wall Street thanks to announcements from the laboratories Pfizer and BioNTech concerning encouraging preliminary results for their vaccine candidate during the first trials. on the man.

Investors also welcomed the results of the ADP firm's monthly survey on employment in the American private sector and the announcement of the creation of 2.369 million jobs in June, but above all the significant upward revision of the figure for may.

The good news on the macroeconomic front does not stop there, since activity in the manufacturing sector in the United States, the euro zone and China has progressed more than expected.

Thus, the CAC 40 index lost 0.18% to 4,926.94 points. The Footsie fell 0.19% and the DAX 30 fell 0.41%.

WALL STREET BACKS, RECORD FOR NASDAQ

Wall Street ended in disarray, with the Dow Jones ending down 0.3% on Wednesday, while the S&P 500 and Nasdaq finished higher, both buoyed by hopes of finding a vaccine for the new coronavirus.

A renewed appetite for was felt thanks to announcements from Pfizer (+3.18%) and BioNTech laboratories concerning encouraging preliminary results for their vaccine candidate during the first human trials.

Market players have taken note of a report by the business services firm ADP according to which 2.4 million private jobs were created in June in the United States.

This figure is below expectations (+3.75 million) and down from the previous month after the upward revision of data for May (+3.07 million against -2.7 million previously).

In addition, activity in the manufacturing sector in the United States recovered sharply in June, after having plunged due to the pandemic, according to the purchasing managers' index of the ISM association.

Consequently, the Dow Jones fell 0.30% to 25,734.97 points. The Nasdaq gained 0.95% and the S&P-500 gained 0.50%.

Interested in clues? Discover our forecasts for the next 2 months by clicking here

Other points on the news of the financial markets

FOREX

The dollar fell against a basket of benchmark currencies, a movement fueled by good US statistics. The euro took advantage of this and rose to 1.1258 dollars.

In the bond market, the ten-year German Bund yield, a benchmark for the eurozone, climbed to a one-week high of 0.384% and its US equivalent is up more than two points.

Oil :

Oil prices are rising on improving US indicators and the much larger than expected decline in US crude inventories according to the Energy Information Administration (EIA), indicating both a gradual recovery in the economy and an increase in demand for rough.

The barrel of Brent takes 1.91% to 42.06 euros and that of American crude gains 1.4% to 39.82 dollars.

Today's economic calendar:

Find the entire economic calendar to find out about all the economic events to come.

CHART OF THE DAY – GBP/USD: A MEDIUM-TERM RANGE

The pound has been gaining ground since the beginning of the week and is trying to break through its resistance at $1.2510. In the medium term, it is clear that the pair is moving in a consolidation range between $1.2660 and $1.2200. Thus, only the breaking of one of the two terminals would lead to a technical signal in order to accompany the flow to come.

However, caution is called for, the market has repeatedly given false signals with a “Bear trap” on May 15 and a “Bull trap” on June 8. As a result, reading the candlesticks makes it possible to filter out the traps in order to avoid being surprised by a reversal. For the moment, the best strategy remains the "trading range" between the two limits, and in the event of a price breakout, the most prudent would be to wait for a weekly close to validate the end of the range.