Wall Street indices declined after recent statistics and European stocks in the Green Zone

The US Treasury said the US posted a record budget surplus of $308 billion in April
compared with a deficit of $226 billion in the same month last year

Evest follows market developments in the following report

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A significant surplus in the budget of the United States of America

Inflation could push the Fed to raise interest rates by half a percentage point at the next meeting

Wall Street indices in the Red Zone

Significant rise in the European stock indices

The UK economy grew 0.8% in the first quarter of 2022

A significant surplus in the budget of the United States of America

Budget revenue jumped 97%, to a record $863.65 billion, while spending fell 16%, or $555.43 billion

In April, states often run a budget surplus due to the fact that the deadline for filing tax returns is April 15
Exceptions were 2009, 2010 and 2011, as well as 2020 and 2021 due to the COVID-19 pandemic

Revenue from personal income tax totaled $593 billion in April

The US budget deficit fell 81% in the seven months of fiscal 2022, which began on October 1
from the same period a year earlier to $360 billion

Since the beginning of the current fiscal year, the budget’s revenue has jumped 39.7% to $2.99 trillion
Spending fell by 17.9% to $3.35 trillion
This resulted in the end of large-scale stimulus programs introduced due to the COVID-19 pandemic

The negative balance of the US state’s budget by the end of the fiscal year 2021
which ended on September 30, fell by 11.4% and reached $2.776 trillion (or 12.4% of GDP)
A year ago, there was a record deficit of $3.1 trillion

The country’s last annual budget surplus was in 2001

Inflation could push the Fed to raise interest rates by half a percentage point at the next meeting

New US inflation data suggest the Federal Reserve could continue to raise interest rates
St. Louis Federal Reserve Bank (FRB) President James Ballard believes

Ballard estimates that the chances of raising the rate by half a percentage point
in the regulator’s next set of meetings remain
while he himself remains skeptical about the need for stricter procedures
He still wants to see the rate around 3.5% by the end of the year

“Inflation is more significant and flexible than many thought” and
“the Fed will have to take action to keep inflation in check,” Ballard said

The US Consumer Price Index (CPI) in April rose by 8.3% compared to the same month
last year after an 8.5% jump in March, a 40-year record
Analysts surveyed by Bloomberg projected a larger weakness in the consumer price index at an average of 8.1%

After the May 3-4 meeting, the Fed raised its interest rate by 50 basis points, to 0.75-1% year-on-year
The rate was immediately raised by 50 basis points, for the first time since 2000
At a press conference following the meeting, Fed Chairman Jerome Powell said that the Fed would
consider raising the rate by 50 basis points
However, the rate will immediately increase by 75 basis points at the next few meetings

artical name Wall Street indices declined after recent statistics

Wall Street indices in the Red Zone

US stock indices ended lower on Wednesday, and market participants assessed April
inflation data in the United States and followed corporate news

On Wednesday, the Dow Jones Industrial Index fell by 1.02% to 31834.11 points
Apple stocks led the decline among the index’s components, falling by 5.9%
For this reason, the electronics manufacturer, state-owned Saudi Aramco
has lost its most valuable position in the world

Of the index’s 30 components, only eight companies showed growth
Including Visa’s securities

S&P lost 1.65% to 3935.18 points and the Nasdaq Composite index fell by 3.18% to 11364.24

In the meantime, news of the weak coronavirus outbreak in Beijing
and Shanghai has provided some support to global equity markets
Investors hope to ease restrictive measures in China’s largest urban areas
which will be a positive factor for the global economy

artical name Wall Street indices declined after recent statistics

Significant rise in the European stock indices

Western European stock indices ended significantly higher in trading on Wednesday
and investors followed the flow of European companies’
data for the last quarter and macroeconomic statistics

The composite index of the largest companies in the zone, Stoxx Europe 600
rose by 1.74% and stood at 427.59 points

DAX rose by 2.17%, France’s САС 40 index by 2.5%, and Britain’s FTSE 100 by 1.44%
Italy’s FTSE MIB and Spain’s IBEX 35 rose 2.84% and 2.13%, respectively

Germany’s consumer price index, consistent with EU standards
rose in April by 7.8% on an annual basis this month
The monthly inflation rate was 0.7%
The dynamics of both indices coincided with previously announced data
and the average expectations of analysts surveyed by Trading Economics

artical name Wall Street indices declined after recent statistics

The UK economy grew 0.8% in the first quarter of 2022

Preliminary data from the Office for National Statistics (ONS) showed that in the first quarter
of 2022 the UK economy grew by 0.8% compared to the previous quarter

According to updated data, UK GDP in the fourth quarter grew by 1.3%, as previously announced
Business investment in the first quarter fell by 0.5% after rising 1% in the fourth quarter of 2021

The country’s economy rose from January to March by 8.7% compared
to the same period in 2021 after rising by 6.6% in the third quarter
The average expert forecast for this index was 9%

Business investment rose 8.5% year on year after rising 1% in the fourth quarter

artical name Wall Street indices declined after recent statistics

Wall Street indices declined after recent statistics

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