🥇 First rule of investing? Know when to save! Up to 55% off InvestingPro before BLACK FRIDAYCLAIM SALE

Tense markets: Is Kashkari 'putting pressure' on Jackson Hole? Watch this

Published 16/08/2023, 09:53
© Reuters.
FCHI
-
DE40
-
ES35
-

Investing.com - European markets -Ibex 35, CAC 40, DAX... - remain in the green on Thursday, despite yesterday's falls on Wall Street and this morning in Asia.

Today, the focus is on the release of the {report of the last meeting of the US Federal Reserve (Fed)} , which will be released at 20:00 Spanish time.

"The US economy was more resilient after the release of the retail sales for July, which were well above expectations. The data was spiced by comments from Minneapolis Fed president Neel Kashkari, warning that while inflation is on the path of moderation it is still too high," say analysts at Banca March.

"It is a sales figure that, together with recent job creation data, gives us a view of a resilient consumer outlook and this morning brings the required IRR on the US 10-year to close to 4.20%, expecting high - or higher - interest rates for longer," these experts add.

"Investors saw the strength in retail sales as a sign that the Fed has failed to deflate demand for goods and services with its rate hikes, so it is likely to keep raising rates or, more likely, keep them at higher levels longer than expected so far," Link Securities reiterates.

"In this sense, all attention remains focused on next week's Jackson Hole meeting, where there are growing doubts as to whether Powell will give any clear signal as to whether rates will peak," warns Renta 4 (BME:RTA4).

"Although more than ever it is interesting to know the debates within the Fed, the minutes of the 25/26 July meeting should not bring any surprises or show many cards from a Fed that repeats that it will go meeting by meeting and will act according to the known data. If necessary, it also has the opportunity in Jackson Hole (24/26 August) to make a statement with more data already in the portfolio", conclude Bankinter (BME:BKT).

(Translated from Spanish using DeepL)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.