Log in
Log in
Or log in with
GoogleGoogle
Twitter Twitter
Facebook Facebook
Apple Apple     
Sign up
Or log in with
GoogleGoogle
Twitter Twitter
Facebook Facebook
Apple Apple     
News
All NewsCompaniesIndexesCurrency / ForexCommoditiesCryptocurrenciesETFInterest RatesEconomyThemesSectors 

Weekly market update : The calm before the storm

11/25/2022 | 05:00pm EST
share with twitter
share with LinkedIn
share with facebook
Receive by email
In what is traditionally a less busy week, with Wall Street closing for Thanksgiving, the financial markets once again recorded a positive weekly performance, following confirmation that the pace of rate hikes could soon ease in the US and Europe. However, central banks warned that there was still some way to go to curb inflation and that further rate hikes would be necessary.
Weekly variations*
US 500
4026  +1.53%
Chart
DOW JONES INDUST...
34347.03  +1.78%
Chart DOW JONES INDUST...
NASDAQ 100
11756.03  +0.68%
Chart NASDAQ 100
FTSE 100
7486.67  +1.37%
Chart FTSE 100
GOLD
1754.26$  +0.12%
Chart GOLD
WTI
76.53$  -4.54%
Chart WTI
EURO / US DOLLAR
1.04$  +0.62%
Chart EURO / US DOLLAR
This week's gainers and losers

 

 

Gainers:

This week's top gainers include Imago BioScience, which soared after announcing that it had been acquired by Merck for $1.35 billion, which represents a nearly 107% premium. Merck wants to strengthen its presence in the field of hematology +105%. 

After days of rumors, the Glazer family, who owns Manchester United, confirmed that it is considering the future of its stake in the soccer club. If there is a good offer, a sale is likely. +59.2 %

Mirati Therapeutics is reportedly being courted by pharmaceutical majors. The oncology specialist is attracting more interest since its rival Seagen chose to remain independent, and it has a treatment in the approval process.  It is up +27.4% 

Best Buy reported better-than-expected quarterly results, raising its annual revenue guidance. The market likes it. The retailer is up 15.1% for the week. 

 

Losers:

Among losers, Dr. Martens, the shoe maker, warned that its margins will be down this year, because demand is weaker than expected, hampered by a difficult context. The British company gives up 26.7%.

Jack in the Box disappoints. The fast-food chain unveiled timid forecasts for next year when it announced its quarterly results, which were in line with expectations. The group's costs have also increased with the acquisition of Del Taco.  -15.7%

Lucid Group: Shares in the luxury electric vehicle fell 11.1% after a Barron's report about defects in the cars. 

Dollar Tree: The retailer lowered its annual profit forecast, dragging down its shares about 7.5%.

Chart Commodities
Commodities
Energy: Oil markets remain under pressure and are giving up ground again this week. The European Union is reportedly considering capping the price of Russian oil at $65-70.  Russian oil is already trading at a significant discount to Brent (Urals is currently trading at around USD 67 per barrel). We can therefore deduce that this ceiling price should not affect Russian production that much. The latter is therefore not expected to decrease significantly in the coming months, which partly explains the weakness of oil prices in recent days.  North Sea Brent is trading at around USD 86 while US WTI is trading at USD 79 per barrel. In Europe, gas prices are stabilizing around EUR 123/MWh for the Dutch reference (Rotterdam TTF). Russia is accusing Ukraine of storing gas in transit on its territory and destined for Moldova. Gazprom is threatening to reduce its flows via Ukraine.

Metals: Industrial metals were down overall, hampered by concerns about new health restrictions in China. Covid is pushing the Chinese authorities to once again confine several cities and districts. In other words, the market still has to wait to play out the scenario of an outright recovery in demand for metals. Copper is trading slightly above USD 8,000 per tonne on the LME. In precious metals, gold is treading water at USD 1,750. Also on the precious metals front, the World Platinum Investment Council is forecasting a deficit market for platinum next year, the first since 2020. The Institute points to strong demand from the automotive industry (whose needs are expected to grow by 3.3% year-on-year) while global supply is expected to grow by only 2%. Platinum is trading at around USD 985.

Agricultural commodity: Ukraine estimates that it will be able to export 13 million tons of wheat in the 2022/2023 season, a significant drop since the country exported nearly 20 million tons of wheat the previous year. Wheat is trading below 800 cents a bushel in Chicago, compared to 660 cents for corn.
Chart Commodities
Macroeconomics
Atmosphere: It's confusing but it's rising. Economic indicators continue to tell one story, rates another and stocks a third. How can you tell the difference? November's European PMI indicators are better than economists were expecting. In the US, they remain weak, but durable goods orders are stronger than expected and consumer sentiment is picking up. Fortunately for equity markets, investors welcomed the minutes of the last Fed meeting. They saw signs that the central bank is becoming less inflexible in its stance on the pace of rate hikes. This will be confirmed or denied next Wednesday with an important speech by Jerome Powell.
 
Currencies: It was a good week for the British pound, which regained ground against most currencies. This is due to continued strong inflation numbers in the UK, as this forces the central bank to raise rates. But forex traders are cautious about the sustainability of the phenomenon, given the state of the British economy. The GBP is trading at USD  1.2104 and EUR 1.1619. The European currency also gained ground against the dollar at USD 1.0418, before falling back below USD 1.04 on Friday. This is not unrelated to a new measure decided by the Chinese central bank to try to revive its economy.
 
Rates: In the United States, the bond market continues to play the tune of a slowdown in rate hikes by the US central bank. The 10-year went from 3.78% a week ago to 3.71%. Shorter maturities are still reversed in anticipation of a marked economic slowdown, which is slow to materialize. In Europe, the Bund is still below 2% on 10 years despite a sharp rebound on Friday. The French OAT is hovering around 2.4%, while Swiss debt is paying 1% over 10 years.

Crypto-currencies: Bitcoin is still reeling from what happened with the FTX scandal. The digital currency is slightly back in positive territory this week, recovering +1.73% to hover around $16,500 at the time of writing. With confidence having completely evaporated from the cryptocurrency ecosystem, the digital asset market is likely to take many weeks to become attractive to a good number of investors again. While waiting to feel a renewed optimism on crypto-currencies, Amazon and Apple are on track to produce, for the former a series, for the latter a movie, on the FTX chaos. Enough to make aficionados of the cryptosphere wait...

Calendar: The macro agenda is packed this week with the Conference Board's US consumer confidence index on Tuesday. On Wednesday, the first estimate of November inflation in Europe, a new estimate of U.S. GDP in Q3, the JOLTS survey on job openings and an important speech by Fed boss Jerome Powell. Thursday in the US, PCE inflation and ISM manufacturing are on the agenda. With the bonus of an OPEC meeting. As for Friday, it includes a speech by Christine Lagarde and the US employment figures for November. 
Historical Chart
The calm before the storm
With festivities over in the US, next week will be busier, with many statistics. Investors will be looking for clues about the health of US household consumption, after Black Friday and Cyber Monday.
Things to read this week
Why is Warren investing in TSMC?
Why is Warren investing in TSMC?
His company Berkshire Hathaway bought 60.1 million shares for $4.12B in Taiwan Semiconductor Manufacturing Co . The case is well known: as the world's largest... Read more
Alimentation Couche-Tard Inc : There's never a bad time to buy a winner
Alimentation Couche-Tard Inc : There's never a bad time to buy a winner
zb_graphique_de_cours Through its various subsidiaries, the group has 14,000 points of sale, 10,000 of which are in North America. 9 million customers... Read more
Bitcoin miners about to capitulate?
Bitcoin miners about to capitulate?
Nowadays, however, many of them are unable to choose a comfortable selling point: rising mining difficulty makes BTC extraction more expensive, all while low... Read more
*The weekly movements of indexes and stocks displayed on the dashboard are related to the period ranging from the open on Monday to the sending time of this newsletter on Friday.
The weekly movements of commodities, precious metals and currencies displayed on the dashboard are related to a 7-day rolling period from Friday to Friday, until the sending time of this newsletter. These assets continue to quote on weekends.

ę MarketScreener.com 2022
share with twitter
share with LinkedIn
share with facebook
Receive by email
Stocks mentioned in the article
ChangeLast1st jan.
ALIMENTATION COUCHE-TARD INC. -1.28% 59.23 End-of-day quote.-0.45%
APPLE INC. 3.71% 150.82 Delayed Quote.16.08%
AUSTRALIAN DOLLAR / BRITISH POUND (AUD/GBP) -0.13% 0.57786 Delayed Quote.1.73%
AUSTRALIAN DOLLAR / EURO (AUD/EUR) -0.05% 0.6482 Delayed Quote.1.97%
AUSTRALIAN DOLLAR / US DOLLAR (AUD/USD) -0.12% 0.70627 Delayed Quote.3.48%
BERKSHIRE HATHAWAY INC. 0.32% 472115 Delayed Quote.0.73%
BEST BUY CO., INC. 1.97% 91.42 Delayed Quote.11.77%
BITCOIN (BTC/EUR) -0.06% 21541.9 End-of-day quote.38.99%
BITCOIN (BTC/USD) -1.09% 23470.8 End-of-day quote.41.27%
BRENT OIL -0.15% 81.86 Delayed Quote.-0.55%
BRITISH POUND / EURO (GBP/EUR) 0.09% 1.1209 Delayed Quote.0.32%
BRITISH POUND / US DOLLAR (GBP/USD) -0.03% 1.22148 Delayed Quote.1.76%
CANADIAN DOLLAR / BRITISH POUND (CAD/GBP) -0.01% 0.614383 Delayed Quote.0.08%
CANADIAN DOLLAR / EURO (CAD/EUR) 0.04% 0.688909 Delayed Quote.0.33%
CANADIAN DOLLAR / US DOLLAR (CAD/USD) -0.04% 0.7499 Delayed Quote.1.80%
CORN FUTURES (ZC) - CBE (ELECTRONIC)/C1 -0.95% 674.5 End-of-day quote.0.37%
DOLLAR TREE, INC. 2.27% 157.02 Delayed Quote.8.55%
DOW JONES INDUSTRIAL -0.11% 34053.94 Real-time Quote.2.85%
DR. MARTENS PLC 5.76% 167.1 Delayed Quote.-12.33%
EURO / BRITISH POUND (EUR/GBP) -0.04% 0.89175 Delayed Quote.-0.32%
EURO / US DOLLAR (EUR/USD) -0.10% 1.0892 Delayed Quote.1.48%
FRANCE 10Y CASH 0.00% 2.5096 Delayed Quote.-11.23%
FTSE 100 0.76% 7820.16 Delayed Quote.4.15%
INDIAN RUPEE / BRITISH POUND (INR/GBP) -0.15% 0.009957 Delayed Quote.-0.72%
INDIAN RUPEE / EURO (INR/EUR) -0.12% 0.01116 Delayed Quote.-0.36%
INDIAN RUPEE / US DOLLAR (INR/USD) -0.30% 0.012156 Delayed Quote.1.10%
LUCID GROUP, INC. 1.90% 12.07 Delayed Quote.76.72%
MANCHESTER UNITED PLC -0.49% 22.38 Delayed Quote.-4.07%
MIRATI THERAPEUTICS, INC. 2.98% 54.26 Delayed Quote.19.75%
MSCI TAIWAN (STRD) 2.19% 587.428 Real-time Quote.12.67%
MSCI UNITED KINGDOM (STRD) 0.30% 1146.19 Real-time Quote.6.45%
NASDAQ 100 3.56% 12803.14 Real-time Quote.13.01%
NASDAQ COMPOSITE 3.25% 12200.82 Real-time Quote.12.90%
NEW ZEALAND DOLLAR / US DOLLAR (NZD/USD) 0.04% 0.6476 Delayed Quote.1.40%
ROLLINS, INC. -0.63% 36.11 Delayed Quote.-0.55%
ROSS STORES, INC. -2.05% 116.09 Delayed Quote.2.11%
S&P GSCI CORN INDEX -0.22% 556.0371 Real-time Quote.0.18%
S&P GSCI CRUDE OIL INDEX -0.38% 414.7209 Real-time Quote.-1.50%
S&P GSCI INDUSTRIAL METALS INDEX -0.02% 483.4562 Real-time Quote.8.74%
S&P GSCI PRECIOUS METALS INDEX -0.12% 2511.36 Real-time Quote.6.96%
S&P UNITED KINGDOM (PDS) 0.62% 1585.36 Real-time Quote.3.69%
SEAGEN INC. 0.29% 139.43 Delayed Quote.8.50%
STERIS PLC 2.97% 220.86 Delayed Quote.16.14%
TAIWAN SEMICONDUCTOR CO., LTD. 2.27% 90.3 End-of-day quote.21.70%
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED 1.89% 540 End-of-day quote.20.40%
US DOLLAR / BRITISH POUND (USD/GBP) 0.04% 0.818679 Delayed Quote.-1.74%
US DOLLAR / EURO (USD/EUR) 0.09% 0.918105 Delayed Quote.-1.46%
US DOLLAR / RUSSIAN ROUBLE (USD/RUB) 0.15% 70.18 Delayed Quote.-2.01%
WHEAT FUTURES (ZW) - CBE (ELECTRONIC)/C1 0.03% 760 End-of-day quote.-3.88%
WTI -0.19% 75.732 Delayed Quote.-1.72%
Latest news
01:08aTomtom : Q4 2022 Results
PU
01:08aZuiko : Installation of Solar Panels at ZUIKO headquarters
PU
01:08aDrdgold : Revenue increases due to Rand gold price increase
PU
01:05aCaixabank's Q4 net profit rises 62% on lending income
RE
01:05aBP, Chubu Elec to study CCS project at Nagoya in broad tie-up in Asia
RE
01:04aPope wraps up Congo visit, heads to volatile South Sudan
RE
01:04aBritish Gas under pressure to compensate 'mistreated' customers
AN
01:04aVT5 publishes invitation to its Annual Shareholders Meeting 2023
EQ
01:04aZur Rose Group hands over successful Swiss business to Migros to focus on growth in Germany
EQ
01:03aFourth Quarter 2022 : Optimising portfolio and preparing for further growth
GL
Latest news