After strong growth of stock indices in the US late last week, which was the largest of two months ago, today investors consolidate positions in the absence of strong fundamental news.
Among the losers are leading companies such as Apple and GE, whose shares dropped after Friday’s rally, with respectively 1.07% and 0.95%.
Sales are subjected shares of companies in the S & P 500, although data from financial statements published so far, according to their earnings growth by 0.2% in the first quarter of the year, with expectations for a decline of 5.8%. However, forecasts for the decrease in net income over the next two quarters remain.
So Dow inferior by 0.18% to 18,159 points. The Nasdaq is up by 0.13% to 5010 points. A broad stock market index S & P 500 fell by 0.05% to 2115 points.
The dollar appreciated by 0.52% to 1.1147 EUR / USD. Eurozone finance ministers said today in Brussels that will greet the Greek government for its efforts, but will not supplement the funds allocated. So the risk of technical default of Greece rises and put pressure on the euro. The dollar index DXY rose by 0.24%, to 95.02.
Futures on US light crude oil for June delivery dropped corrective by 0.61% to 59.03 dollars per barrel. The market gradually stabilized around the levels achieved, in light of recent data on EIA, which showed a drop in crude oil inventories in the US, but in an ongoing supply surplus. Gold depreciated by 0.60% to 1 181.30 dollars an ounce.
Uncertainty in Europe amid new developments drama with Greece. After infarcted meeting on Sunday the Greek government decided not to give in to the demands of creditors.
So the expected preliminary agreement between eurozone finance ministers and the Government of Greece, which had to be concluded today, will hardly be realized. And tomorrow the country has to pay 750 mln. Euros from the International Monetary Fund. It is expected that payment be made, but it is certain that Greece has no funds to cover debt maturities coming after him, at least not without international financial support.
The news of the Greek ultimatum seriously rattled financial markets in the euro area. The situation in London is much more relaxed after the parliamentary elections held late last week, ended with a landslide victory of the hitherto ruling Conservatives.
Yesterday British Prime Minister David Cameron said that excludes hold a second referendum on Scottish independence, stressing that the country voted against separation from the United Kingdom last year.
Today the Bank of England kept unchanged its monetary policy with a basic interest rate of 0.50 percent and quantitative easing program worth 375 billion. Pounds.
Political stability lifted risk appetite and in London the FTSE 100 rose by 0.16% to 7058 points. In Germany, the DAX, however, fell by 0.42%. to 11,660 points. A French index of blue-chip CAC 40 lost 1.40 percent to 5019 points. The main stock index in Athens fell by 3.17% to 812 points.
Asian markets were much more optimistic today after China’s central bank, despite claims from the end of last week that the economy needs additional stimulus, reduced its main interest rate by 25 basis points to 5.1%.
Thus, in Hong Kong Hang Seng rose 0.51% to 27,718 points. The main stock index in Shanghai jumped 3.05 percent to 4334 points. And the Nikkei 225 in Tokyo rose by 1.25% to 19,621 points, supported by the depreciation of the yen.
The euro today fell because of the Greek drama. The single currency depreciated by 0.59% to 1.1139 dollars. The pound appreciated by 0.21% to 1.5481 GBP / USD. The yen is down by 0.09% to 119.9110 USD / JPY. The dollar index DXY is up by 0.30% to 95.07.
Crude oil Brent for June delivery dropped corrective 1.16%, to 64.63 dollars a barrel. And the price of gold rose by 0.01 percent to 1 188.55 dollars an ounce.