Europe in red after Powell's speech. PSI 20 penalized for failures of BCP and Galp

The main Portuguese stock index started the session this Thursday to lose 0,54%, to 4.065,64 points.

The main Portuguese stock index (PSI 20) started the session this Thursday to lose 0,54%, to 4.065,64 points, in line with the main European markets.

Investors are wary after the last speech by the President of the United States Federal Reserve, Jerome Powell, who pointed to the need for more stimulus to guarantee the economic recovery. This, at a time when the number of confirmed cases of new infections by Covid-19 increases worldwide. In Europe, there is already a reinforcement of social distance measures in countries like Spain.

This reinforcement is creating some anxiety for investors, especially after Powell stressed that there is a long way to go before economic recovery is achieved and, therefore, the call for further stimulus to address Covid-19's economic impact. .

Asian stock markets followed a negative performance. A verifiable trend also in Europe.

On the Portuguese stock exchange, PSI 20 is penalized by the downturns in BCP (-1,79%) and Galp (-1,76%).

Highlight for Galp, which also follows the trend of the oil market. After the words of the Fed chairman, Brent, which is traded in London and is a reference for Portugal, falls 0,93% to $ 41,39. WTI, in New York, decreased 0,86% to $ 39,56. Oil indexes suffer from weak demand prospects due to an eventual new wave of the Covid-19 pandemic.

In PSI 20, Altri (-2%), Navigator (-1,02%) and Semapa (-0,40%) also showed considerable falls.

Read more

Recommended

Wall Street closes up thanks to economy and technology

The growth rate of the world's largest economy surprised investors. GDP growth and the results of Facebook, Alphabet, Amazon and Apple pulled the New York Stock Exchange which closed higher despite the new wave of the pandemic.

EDP ​​gives up the case against the State at CESE. Costs outweigh probability of success

The energy company also announced that it will ask Brussels to analyze compliance with the future of the Social Tariff financing mechanism. "EDP does not question the existence of the Social Tariff itself, with the purpose of which it agrees, but cannot, in view of the evolution of the respective regime, comply with the terms of financing".

EDP's profit falls 8% to 422 million euros in the nine months

The energy company pointed out that the loss in Portugal was 23 million euros, in a sequence of losses that began in 2018. At the group level, EBITDA - earnings before interest, taxes, depreciation and amortization - decreased 2% to 2.625 million euros
Comments