
Equity markets have lost their upward trend. US stock markets fell yesterday (S&P 500 -1.4%), led by tech stocks (NASDAQ -2.3%).
The pharmaceutical company "Moderna", which emerged during the pandemic, fell the most yesterday (-21%). The company is cutting revenue forecasts and expecting slow sales of the Covid vaccine in Europe. Today, S&P 500 index futures indicate about -0.9 percent. fall The poor performance of companies contributed significantly to this, among which Intel was the most prominent. The chip maker announced significantly worse than expected financial results, as well as Intel suspending dividend payouts and laying off about 15,000 employees. The company fell about 6 percent in yesterday's trading session, and fell another 19 percent after the main trading session.
The Bank of England cut interest rates by 0.25 percentage points. The decision was very difficult, the cut vote was won by just one vote.
Immediately after the decision, the governor of the bank was quick to talk about the risks of cutting rates too quickly. It was also emphasized that inflation will increase by 2% from June. lowlands, but in 2024 GDP growth forecasts were almost doubled to 1.25 percent. Now the markets are expecting a pause – the probability of a September interest rate cut has dropped to 25 percent. from 45 percent those before the meeting. It seems that the reduction in the currency markets has already been fully factored in, the EUR/GBP exchange rate has not changed significantly.