- Wall Street ends the week higher. The main U.S. indexes are up about 0.5% today. The exception is the Russell 2000, whose futures are gaining nearly 2% on macroeconomic data that fuels hopes for interest-rate cuts. Companies in this index stand to benefit the most. Despite Friday’s upbeat session, the indexes are ending noticeably below Monday’s opening levels.
- The U.S. BLS released January inflation data, which came in below expectations. The annual price increase was 2.4% versus expectations of 2.5%. On a monthly basis, prices rose 0.2% versus the expected 0.3%. Core inflation met the target, coming in at 2.5% year over year and 0.3% month over month.
- The tech earnings season is still ongoing. Arista Networks and Applied Materials surprised to the upside, rising by (more than) 5% and 8%, respectively.
- A mixed session in Europe. Moderate gains, capped at 0.5%, were posted by the DAX, Switzerland’s SMI, and the FTSE 100. Among the biggest decliners are Italy’s FTSE MIB, Poland’s WIG20, and Spain’s IBEX 35, where losses exceed 1.5%. The CAC 40 is holding up better, with losses limited to 0.4%.
- Eurostat published preliminary data on economic growth in the European Union, which came in in line with expectations. EU GDP rose 1.3% year over year, while quarterly growth was 0.3%. Trade and employment data exceeded expectations. Employment in the bloc increased by 0.7%, and the trade surplus widened to EUR 12.6 billion.
- German industrial and construction company Ingersoll significantly beat investor expectations. The company’s valuation is up more than 6%.
- Precious metals are recovering part of their recent losses. Silver is up 3.5%, while gold is gaining more than 2%.
- In the FX market, the British pound and the New Zealand dollar are strengthening by about 0.2–0.3% on average. Limited depreciation can be observed in Central and Eastern European currencies.
- Very strong Coinbase results are lifting the cryptocurrency market. The company clearly beat expectations and highlighted large cash reserves, pushing its valuation up more than 15%. Bitcoin is up 4.5%, holding around USD 69,000, while Ethereum is gaining more than 6% and moving back above USD 2,000.
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