European markets sustained the recovery of prices at the opening on Friday, underpinned by global efforts to strengthen the financial system.
Attention is focused today on the inflation data for the Euro Zone in a quadruple witch hour session (futures expiration session and options on stock market indices and shares), with the volatility that this entails.
In London, the FTSE 100 index rose 0.9% and in eurozone markets, the Frankfurt DAX gained 0.9% and in Paris the CAC 40 rose 0.8%. In Madrid, the Ibex-35 gained 0.68% at the beginning of the session.
Asian markets traded higher this Friday and closed with gains after the recovery on Wall Street the day before. Tokyo gained 1.2% at the close, Hong Kong 1.6% and Shanghai 0.7%.
This stock market movement occurs after a consortium of private banks in the United States rescued the private entity First Republic with a package of US$ 30,000 million.
Specifically, the entities Bank of America, Citigroup, JPMorgan Chase and Wells Fargo will each make uninsured deposits in the First Republic for a value of US$ 5,000 million (about 4,695 million euros). For their part, Goldman Sachs and Morgan Stanley will inject US$2.5 billion each into First Republic (2.348 billion euros), while BNY Mellon, PNC Bank, State Street, Truist and US Bank will each make a deposit of US$ 1,000 million (939 million euros).
Today there will be attention to the evolution of Credit Suisse which yesterday recovered after the loan from the Swiss central bank. According to sources cited by Reuters, the liquidity coverage ratio, a key measure of the amount of cash-like assets a bank holds, did not change between March 8 and 14 despite the global banking crisis.
From Link Securities they recognize that although the doubts that the rescue of several entities have generated in the European and American banking sector are not going to disappear at once, It is going to take a bit more time for the prices of the sector as a whole to settle down.
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