DJ MORNING NEWSLETTER: June 28, 2023

European equity markets expected to rise after Wall Street surges. The Eurostoxx 50 opens at 4,305.26 points (+0.58%), the CAC 40 at 7,215.58 points (+0.43%), the DAX 40 at 15,846.86 points (+0.21%), the FTSE 100 at 7,461.46 points (+0.11%), the SMI at 11,142.65 points (+0.01%), the AEX at 760.56 points (+0.01%), the SMI at 11,142.65 points (+0.01%), the AEX at 760.56 points (+0.11%) +0.40%), the BEL 20 at 3,479.87 points (-0.75%), the IBEX 35 at 9,393.00 points (+1.28%), the DJIA at 33.926.74 points (+0.63%), the Nasdaq at 13,555.67 points (+1.65%), the S&P 500 at 4,378.41 points (+1.15%), and the Nikkei 225 at 33.074.96 points (+1.65%

As far as exchange rates are concerned, the change compared to the close in New York, EUR/USD was 1.0950 (-0.10%), EUR/JPY was 157.65 (-0.16%), and USD/JPY was 143.98 (-0.07%).

In vitro diagnostics specialist bioMérieux announced Tuesday evening the appointment of Jennifer Zinn to the position of Executive Director of Clinical Operations, effective August 1. She will succeed Pierre Boulud, whose appointment as CEO was announced on June 14. Atos is holding its annual general meeting on Wednesday. On the macroeconomic side, the household confidence index for June will appear at 8:45am. Economists polled by the Wall Street Journal expect the index to rise slightly, to 84 from 83 in May

European equity markets are expected to open higher on Wednesday, in the wake of Wall Street's rise on Tuesday after the release of new indicators showing that the U.S. economy is holding up well, despite a sharp rise in Federal Reserve (Fed) interest rates. Around 7:30am, the futures contract on the CAC 40 rose by 24.3 points, or 0.3%, according to data from the broker IG. The contract on the DAX 40 rose by 52.5 points, or 0.3%, and the one on the FTSE 100 gained

The New York Stock Exchange closed sharply on Tuesday, encouraged by well-oriented indicators that confirmed the resistance of the American economy to rising interest rates. Orders for durable goods in the United States also rose 1.7% in May after growing 1.1% in April, while US orders for durable goods rose 1.7% in May after growing 1.1% in April, while the Economists expected a fall of 1%. The Case-Shiller Home Price Index rose more than expected last month (+0.9%) and new home sales rose more than expected, at

In Asia, equity markets performed mixed on Wednesday. The Nikkei index on the Tokyo Stock Exchange rose 1.7% at the end of the session. The Hang Seng lost 0.3% in Hong Kong and the Shanghai Composite lost 0.5%.

U.S. Treasury bond yields are trending lower on Wednesday. They rose on Tuesday after the release of good economic indicators in the United States. Better-than-expected data on manufacturing, housing, and household confidence supported Treasury yields before Fed Chairman Jerome Powell spoke at the ECB Forum in Sintra on Wednesday

The numbers fuelled hope that a recession could be avoided, while indicating that interest rates could remain high for longer. Markets estimate that the Fed is 77% likely to raise its key rate by 25 basis points on July 26, to between 5.25% and 5.5%, according to CME's FedWatch tool

The central bank is not expected to reduce its federal funds rate target to around 5% until next year, according to 30-day futures contracts on federal funds. Around 7:20am, the rate on the 10-year US Treasury bond was almost stable, at 3.771%. The 2-year stock lost nearly 13 basis points, at 4.762%

The euro fell slightly against the dollar and the yen on Wednesday morning, while the greenback fell slightly against the Japanese currency. On the eurozone side, a senior official at the International Monetary Fund (IMF) has indicated that the European Central Bank (ECB) may have to raise its deposit rate to at least 4% and keep it at this level until the end of 2025 in order to control inflation. In its latest forecasts, the IMF expected a deposit rate of no more than 3.75%, but it is “probable that the ECB needs to do more,” according to Alfred Kammer, director of the IMF's European Department

Oil prices rose slowly on Wednesday morning, remaining within a narrow range this week, while risk appetite is weak. Operators have put into perspective the risks to oil supplies after the rebellion that occurred last weekend in Russia, during which troops from the Wagner Group advanced up to about 190 kilometers from Moscow, before retreating. Around 7:20 a.m., the August North Sea Brent contract was gaining 33 cents, at $72.59 per barrel, and the contract with the same maturity on Nymex-traded soft light crude (WTI) was gaining 25 cents, at $67.95 per