No View Of Reversing Downtrend By

By Laura Sanchez – European markets in the red this Friday -, , …- in a frantic week of central banks, which have confirmed their super hawkish strategy and with the publication today in the , , , and of the preliminary September readings of the indices of activity in the manufacturing and services sectors, the PMIs prepared by the consulting firm S&P Global.

“These indicators confirm that private activity in all these countries has continued to slow in September,” they point out in Link Securities.

“They give us a good idea of ​​the degree of slowdown in the economic cycle, and where we expect some stability in the US in manufacturing and improvement in services, while the deterioration continues in Europe in both components, after yesterday seeing a new historical low in consumer confidence in the Eurozone”, stand out in Renta 4 (BME:).

“Declining PMI and complex electoral result in Italy on Sunday are obstacles to overcome. It is doubtful that stock markets will stabilize. If we look at next week, new generalized spikes in inflation and macro deterioration continue to give no cause for optimism in the short term”, they point out in Bankinter (BME:).

“In the short term, we do not see catalysts that could reverse the underlying downward trend that the European and US stock markets have adopted since the middle of last August, which may lead the indices to retest their minimum levels of the year. , something that indices such as the German Dax, the Spanish Ibex 35 and the American are very close to doing”, they highlight in Link Securities.

“However, we do not rule out occasional upturns in the markets, as a result of the high level of overselling that many stocks and indices present,” these experts conclude.

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