Friday , January 22 2021

Fed's message disappoints the market and Wall Street closes with a loss of about 2%.

Investors' mood became stiff in the Federal Reserve's latest Monetary Policy Meeting. This is because the market expects to see more moderate fades among indicators of economic downturn.

Near the trading, the Dow Jones decreased by 1.49%, while the S & P 500 had a loss of 1.54%. Meanwhile, the NASDAQ generated 2.17%.

The projections of the FED committee's 2019 rate move are expected to increase to two instead of three, but will not calm investors' nervousness. Market consensus grew only for next year, taking into account lesser signs of economic growth.

In this way, the US Concerned with the central office, the New York Plaza has faced a suspicion of sales momentum that the financial adjustment policy could have an impact on the economic performance. According to Bloomberg, investors expects a "less aggressive" approach.

Earnings in Europe

Meanwhile, the Old Continent's Stock Exchanges had to depart due to positive signals in the trade war and the advance of Fed's message. Euro Stocks 50 – which brings together 50 most important companies in the euro zone – dismisses the session. With an increase of 0.37%. France's CAC 40 and Germany's DAX are up 0.49% and 0.24% respectively.

The end of the commercial war is near? US And the Chinese decided to sit next to January

In addition to less fear of commercial conflicts, another motor that forces the Old Continent's Square is that Italy reached for the 2019 budget with the European Union.

Italy reaches the agreement with Europe on the 2019 budget

Despite good weather at the beginning of the session, major Asian indices closed in mixed terrain. Japan's Nikkei reported a 0.60% lower level. Meanwhile, Hong Kong's Hang Seng gave 0.20% returns, while Shanghai's CSI 300 dropped by 1.19%. According to Bloomberg, influences from Japan's group's telecommunications business, the disappointing start of SoftBank, can be explained.

For the commodity market, oil prices increased after yesterday's severe plunge. Referenced in WTI-America – 2% had been closed in advance and the barrel was USD 47.2, while in Europe, Brent rose 1.74% to US $ 57.24.

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