Wall Street reassured by the moderate price rise in the United States

Wall Street rassurée par la hausse modérée des prix aux Etats-Unis

The New York stock Exchange began the session higher on Thursday, investors welcoming positively the increase in slower-than-expected prices in August and, building on an easing of trade tensions.

To 14H05 GMT, the index feature of the place in new york, the Dow Jones Industrial Average, which gained 0,68%, 26.176,24 points.

The Nasdaq, in high coloring technology, rose 0.88% to 8.023,94 points.

The expanded index S&P 500 rose 0.54%, to 2.904,66 points.

Wall Street had ended in a scattered fashion on Wednesday, the questions about the consequences of tensions between Washington and Beijing continuing to soar in the market while the technology sector was the sentence: the Dow Jones had taken the 0.11% and the Nasdaq lost 0.23 percent.

Market players were awaiting Thursday’s publication of figures on inflation in August, which increased by only 0.2% compared to the previous month. Year-on-year, this corresponds to a price increase of 2.7%.

And without the prices of food and energy, the increase in August was 0.1%.

“The index of producer prices (Wednesday), the index of consumer prices in August has brought an unexpected relief,” said Christopher Low of FTN Financial.

This moderate growth of prices should not push the u.s. central bank, one of whose tasks is to ensure the stability of the inflation, to accelerate the rise in interest rates. What reassure the brokers of Wall Street who benefit from several years of low rates on the markets.

Their reaction, however, should be temporary, according to Mr Low, as the indicators of the week on inflation are not sufficient “to change the perspective of the members of the monetary policy committee of the Fed”.

After having declined significantly in the publication of figures on inflation, the rate of borrowing in the medium-and long-term u.s. debt is stabilized after the opening: the return on Treasury bonds to 10 years decreased with 2,962%, compared to 2,963% Wednesday evening, and one to 30 years 3,101%, compared to 3,104% to the previous closing.

Other central bankers were also scrutinized Thursday.

The european central Bank in particular has maintained Thursday its interest rates at a low and confirmed the judgment at the end of the year of its extensive programme of redemptions net assets.

– Apple bounces back –

The Bank of England (BoE) also opted, unsurprisingly, for the status quo of its monetary policy pending the outcome of difficult negotiations on the Brexit.

The central bank of Turkey has considerably raised Thursday its main interest rate, a decision designed to stem the fall of the Turkish lira and bringing a little relief to investors concerned about the crisis from the emerging countries.

Wall Street was also encouraged by the proposal of the United States to resume negotiations with China to try to get out of the trade war between the two countries.

The shares of Boeing and Caterpillar, two companies that are highly sensitive to any disruption in the international trade, taking, respectively, were 1.90% and 1.37%.

The supermarket chain Kroger was 10,41% after the publication of its quarterly results. If the profit was higher than expected, its revenue has been less progress than expected by financial analysts.

The specialist chocolates Hershey was appreciated by 0.16% after the announcement of the buyout, to $ 420 million, the brand of snacks Pirate Brands to the group B&G Foods (+2,35%).

Apple, which had finished down on Wednesday after presenting three new versions of the iPhone, two very high-end and more affordable, was on the ground and went up from 1.51%.


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