The inflation data for personal expenses in the United States could have been worse for March, as the core component rose by 2.8%, just two tenths above expectations. The markets closely watch this indicator as it is highly considered by the Federal Reserve. Following a significant quarterly data release on personal expenses yesterday, Wall Street is on the rise today. The Nasdaq, particularly focused on technology stocks, is up by 2.1% today and 4.2% for the week. Alphabet, the parent company of Google, saw a 10.1% increase, while Microsoft rose by 2.65%. Both companies reported double-digit revenue and profit growth, as well as increased investments in artificial intelligence. Alphabet’s revenue increased by 15% to $69.79 billion, with a net profit jump of 57% to $23.66 billion. Microsoft also saw a 17% annual revenue growth to $61.7 billion, with a net profit increase to $21.94 billion.
The S&P 500 index is also on the rise by 1.09%, along with the Dow Jones by 0.38%. In Europe, the FTSE MIB index in Milan has increased by 0.87%, reflecting the weekly performance. The biggest increase was seen in London, with a 3% rise, led by a 21% weekly gain for Anglo American in the mining sector. The Australian competitor BHP has made a $36 billion offer to acquire them, which was currently rejected. Notably, Tenaris in Piazza Affari showed a 7.95% decline, attributed to lower sales forecasts and margins for the second quarter due to declining prices of drilling pipes in the Americas. StMicroelectronics also declined by 2.39%, despite three previous increases, including a 0.98% rise after the quarterly report release yesterday. On the other hand, Banca MPS surged by 4.04%, and Prysmian by 3.52%.
Overall, the stock markets in the United States and Europe are showing positive trends driven by strong financial performances of tech giants like Alphabet and Microsoft. The rise in the Nasdaq particularly stands out this week, with notable increases in stock prices. The market is also influenced by M&A activities such as the acquisition offer made by BHP for Anglo American, reflecting ongoing developments in the mining sector. Despite some companies experiencing declines, others are seeing significant gains, contributing to the overall market positivity. It is crucial for investors to closely monitor the market movements and financial results of companies to make informed decisions and capitalize on potential opportunities. The current market dynamics reflect a mix of sector-specific factors and broader economic trends that shape the investment landscape in the US and Europe.
