Government cuts profit rates on NSS


May 13, 2022: Global stock markets rebounded on Friday as fears eased over the pace of U.S. interest rate hikes that aim to bring down the country’s highest inflation in decades.

Wall Street rose sharply with the Dow Jones climbing 1.6% late in the morning. The tech-heavy Nasdaq jumped 3.6% and the S&P jumped 2.3%.

European stocks all closed more than 2% higher after strong gains in Asia.

“This is largely a sentiment-driven trade wrapped up in the notion that stocks are deeply oversold and need to rebound,” analysts at said.

Stocks have fallen for much of this week on fears the Federal Reserve plans to raise U.S. interest rates by 75 basis points in a single meeting.

However, stocks staged “a rally of relief” on Friday after Fed boss Jerome Powell calmed nerves over the potential sharp rise, said Jeffrey Halley, analyst at trade group OANDA.

“Today’s rally looks more like a technical rebound after a torrid week than a structural reversal in sentiment,” he added.

Investors also sold stocks as they sought to reduce risk amid war in Ukraine and worried about the economic impact of Covid lockdowns in China.

Those worries about China also eased on Friday.

“Global sentiment appears to be easing as Chinese officials have suggested Covid-related lockdowns – which have been another source of unease – may be easing,” analysts at investment bank Charles Schwab said.

Oil prices rose on Friday after high volatility, again hitting around $110 a barrel,

“Prices appear to be caught in a pincer movement with concern over slowing demand due to the impact of rising prices, as well as Covid lockdowns in China and concerns over Russian supply and loss of this one because of the sanctions,” said analyst Michael Hewson of CMC Markets. .

Meanwhile, the euro hit a new five-year low against the dollar.

Bitcoin held above $30,000, a day after the cryptocurrency fell below $27,000, its lowest level since late 2020.

Its crash this week was fueled by the collapse of two so-called stablecoins – TerraUSD and Tether – which proved to be anything but stable, leaving investors panicked.

On the corporate front, Twitter’s share price plunged after Elon Musk announced he was temporarily ending his highly anticipated $44 billion deal to buy the social media giant.

Its shares have fallen more than 7% and are trading below what Musk promised to pay for the company’s shares.

Hewson said the announcement fueled “concerns that Musk could set the stage to walk away from the deal, although he will take a $1 billion hit if he does.”

– Key figures around 3:30 p.m. GMT –

New York – Dow: UP 1.6% to 32,230.15 points

EURO STOXX 50: UP 2.5% to 3,668.92

London – FTSE 100: UP 2.6% to 7,418.15 (closing)

Frankfurt – DAX: UP 2.1% to 14,027.93 (closing)

Paris – CAC 40: UP 2.5% to 6,362.68 (closing)

Hong Kong – Hang Seng Index: UP 2.7% to 19,898.77 (close)

Shanghai – Composite: UP 0.9% to 3,084.28 (close)

Tokyo – Nikkei 225: 2.6% higher at 26,427.65 (closing)

North Sea Brent Crude: UP 3.1% to $110.80 a barrel

West Texas Intermediate: UP 3.5% to $109.80 a barrel

Euro/dollar: UP at $1.0413 vs. $1.0382 at 21:00 GMT Thursday

Pound/dollar: UP to $1.2238 from $1.2199

Euro/pound: UP at 85.10 pence against 85.08 pence

Dollar/yen: DOWN to 129.20 yen from 129.97 yen



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