The week for the financial markets started up after the House Bianca has announced an lightening of the duties on the car sector. The eyes of the investors, then, were focused on the quarterly season that took full rate: the attention was catalyzed, above all, by Big Tech accountsthe so -called “magnificent seven”, namely Microsoft, Apple, Meta and Amazon.
In the destination, the turnover rises by 16% to 42.3 billion dollars and the profit by 35% to 16.6 billion, while investments increase; Microsoft improves revenues of 13% to 70.1 billion and the profits of 18% to 25.8 billion, with the cloud services of Azure grown by 35%. As for Apple and Amazon, they reported solid accounts and beyond expectations between January and March, almost 42 billion overall, but global commercial wars and, especially offensive against China, cost Care, weigh on the outlook and require business reviews.
On the macroeconomic front, prices in the USA that grow more than expected and economic growth in slowing down represent a particularly difficult scenario to manage for the Federal Reserve, whose board meets next week.
The US labor market shows no signals of failure but not even of particular strength
The figures on the Non-Farm Payroll Report of April showed a slight flexion compared to the previous month (+185k), but were higher than the expectations of the Consensus. The data (+177k) is however higher than the average data of the last 12 months (+152k). The world of work shows no signals of failure, however, with the reductions downward of the previous months it leaves some doubts about the actual strength of the last period. We believe, he explains Filippo Diodovich, Senior Market Strategist of IG Italiathat the effect of duties is not yet present and therefore we expect one Federal Reserve Very cautious at the next meeting of the FOMC (Federal Open Market Committee). We believe highly likely that the president of the Fed, Jerome Powellcan keep interest rates on current levels in the FOMC meeting next week (Wednesday 7 May). The markets reacted with a fair rise in both US and dollar share.
Always in the USA, the GDP contractionin the first quarter 2025, fueled the fears of a slowdown in the largest world economy in the context of a global commercial war, representing a particularly difficult scenario to manage for the Federal Reserve, whose board meets next week. Although the update on the GDP has rekindled the recessive fears, the price trend highlighted by the PCE index is intended to encourage a waiting attitude by the US Central Bank and supporting the course of the green ticket.
The other macroeconomic data of the week
On the other side of the Atlantic, due to the commercial tensions, the economic sentiment of the Eurozone in April has come down on the minimum from December passing from 95 points in March to 93.6.
The strong dollar policy remains intact
In the last period the dollar shown signs of recovery thanks to the news on the commercial agreements that have fueled optimism as a sign of what could happen in the next 100 days of the Trump administration. Support also came from the words of the Treasury Secretary, Scott Beesent, according to which the US will continue the “strong dollar” policy.
Gold, global question to the maximum for 9 years
In the first quarter the Global question of gold has risen by 1% On an annual basis and, at an altitude of 1,206 tons, it has reached the most high value for nine years now. According to reports from the Word Gold Council, to find a similar level you have to go back to the first quarter of 2016. Just under a fifth of the total demand for gold, 244 tons came from the central banks, with a slowdown compared to the previous quarters, but widely in the average compared to the past three years. What grew, according to the World Gold Council, is the demand by ETF (Exchange Traded Funds): it jumped by 170% on an annual basis at 552 tons, marking the highest ‘highest’ value from the first quarter of 2022.
The weekly performance of the bags: bank risiko pushes Milan
The strongest rises were recorded by the Frankfurt square that earns 4.6% followed by the Milan stock exchange of 4.1%, thanks to the bank risiko. Well Paris that rises by 3.5% and London by 2.2%. Madrid shows a rise of about 2%. The ending aims to be raised also for the Wall Street bag, with the Nasdaq index uphill of 5%, thanks to the quarterly of the Big Tech.
The best and worst in Piazza Affari
In Piazza Affari, the banks are the protagonists, in the wake of a consolidation process that proceeds at full speed: Mediobanca marks a double -digit growth (+10.3%), as well as MPS (+10.1%) and Banca Generali (+11.3%). Tonic week also for Stellantis (+3.1%) which published the quarterly: the numbers were in line with the estimates, but the group, due to duties, was forced to suspend the guidance. Confirmed the arrival of a new one within the first half of the year. Among the best also in Recordati (+7%). who benefited from the positive judgments of analysts following the capital markets day.
