The AEX index ends 1.3% higher at 645.6 points, a further tightening of the highest level since mid-2001. However, the AEX is still a long way from the record of 703 points in September 2000. On balance, the main indicator gets 3.4% on a weekly basis. The AMX rises 0.5% to 972.8 points.
The price signs in Paris and Frankfurt also color green.
In the afternoon, investors were presented with a disappointing US labor report. The number of new jobs in December fell by 140,000. An increase of 50,000 jobs was expected in advance. Unemployment remained unchanged at 6.7%, while an increase to 6.8% was foreseen. According to Joost van Leenders, strategist at Kempen, the job pain was visible in the service sector, while the industry is still doing well. “Underlying it still offers perspective that the downward trend in the number of unemployment claims in the US has been interrupted.”
With this job master, new president Biden gets an extra weapon to continue his agenda with more corona support. Van Leenders agrees that the door is more open for more stimulation for Biden, but that his room for maneuver is limited, given the narrow majority of Democrats in the Senate.
Van Leenders takes into account that the light will remain green for the equity markets for the time being, despite the ongoing rise. “In any case, investors should keep a close eye on the movement in interest rates, which in America has again risen above 1%. Furthermore, the expected profit recovery at companies and the roll-out of the vaccination are positive factors for investors. ”
Cees Smit, trader at Today’s, emphasizes that investors are holding up the rose-colored glasses, despite the fact that additional fiscal stimulus in the US is far from over. He points out that there are also people with Republican traits among the Democrats who think that there is already enough stimulation. Also, according to him, Trump’s bowing was only done for the stage to prevent criminal action following his call to his supporters to go to the Capitol. “Large investors in particular are becoming cautious, while retail investors in particular do not see any bear on the road and completely risk on to be .”
After the good start of the first week in January, Smit says it remains to be seen whether the cheerful mood will continue. “I see more and more parallels with 2000, where everyone in the market steps out of the fear of missing out. There is a chance that some air will escape from the rapidly rising valuations with the arrival of the earnings season. ”
Galapagos at the top, Arcelor at the bottom
In the AEX plus Just Eat Takeaway 3.3%. Bank Degroof Petercam has put the meal delivery company on the buy list.
The chip funds ASML (+ 3%) and ASMI (+ 3.7%) are also happy. The mood in the tech sector is positive thanks to better-than-expected reports from STMicroelectronics, TSMC and Samsung.
Prosus (+ 3.8%) shows a nice recovery after the tech investor’s plunge on Thursday.
Biotech company Galapagos (+4.8) is also on the rise. Healthcare technology group Philips will be worth 1.8% more.
Steelmaker ArcelorMittal (-2.3%) is the largest drop among the main funds. Insurer Aegon returns 2.3% after a reduction in advice from investment bank HSBC.
In the AMX Besi (+ 3.5%) the biggest winner. The chip supplier benefits from a price target increase by asset manager Berenberg from € 46.50 to € 60 with an unchanged buy recommendation.
Lighting producer Signify is also doing good business and can add 3.1%.
Altice Europe gain 0.3%. The shareholders’ meeting of the cable and telecom provider has approved the increased takeover bid from major shareholder Patrick Drahi. As a result, Altice Europe will almost certainly disappear from the stock exchange this year.
Fertilizer producer OCI (-2.2%), however, has a bad day. Engineering office Arcadis drops 1.8% after the price jump on Thursday. Also wanted it a day earlier Fagron takes a step back with a minus of 2.9%.
Ajax leave 0.5%. The football club has paid € 22.5 million for the new striker Sébastien Haller. Ajax will play the top league of the premier league against PSV on Sunday.
The rate of Ease2pay up by another 51.5%. The company behind the parking and refueling app of the same name reported this week that the number of parking payments with the app was a third higher last year than in 2019 and that the number of payments for fuel more than doubled.
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