Pressure has come on for European equities, but mainly for Nasdaq-100 futures on Friday, with Treasury yields resuming their high.
The Stoxx Europe 600 SXXP index,
fell 0.5% to 423.13 after a four-game winning streak. The German DAX DAX,
fell 0.3%, while the French CAC 40 PX1,
and FTSE 100 UKX indices,
they were flat. The EURUSD euro,
and GBPUSD pound,
fell against the DXY dollar,
that has strengthened across the board.
A familiar scenario was emerging for investors, with the Nasdaq-100 future NQ00,
falling more than 1% as the 10-year US Treasury yield TMUBMUSD10Y,
rose 6 basis points to 1.58%, a day after falling below 1.5% for the first time in a week. Dow YM00 Futures,
dipped and S&P 500 future ES00,
fell 0.5%.
European and US equities rose on Thursday after President Joe Biden signed a $ 1.9 trillion stimulus bill, and the European Central Bank said it would accelerate its bond-buying plan while continuing to fight the effects of the pandemic on economies.
Reading: The ECB only reacted against the increase in bond yields, catching investors off guard
Although the ECB’s stance spurred gains for the region’s bonds on Thursday, those assets were under some pressure again on Friday. The 10-year German government title yielded TMBMKDE-10Y,
rose 2 basis points to negative 0.308%. The UK 10-year golden yield TMBMKGB-10Y,
rose 4 basis points to 0.781%. Yields move in the opposite direction to prices.
The data showed that the UK economy shrank 2.9% in January, with the service sector-led weakening amid blockages and as new Brexit trade deals hit exports, the Office of National Statistics said on Friday. -market.
Among the stocks in motion, the weakness of the technology was showing up in Europe, with shares of ASML Holding ASML,
ASML,
and STMicroelectronics STM,
STM,
each decreased by at least 1%.
Burberry BRBY,
shares rose 7% after the luxury goods group predicted that 2021 tax revenue and adjusted operating profit will exceed expectations.