Rising inflation and the lack of prospects for an end to the war have a negative effect on stock quotes. Inflation in the US is an element that is shattering the stock market also in Poland. All this is reflected in the results of the WIG20 index.
Throughout the last week, this index continued to sell off, strengthened by the sentiment of core markets that reacted to inflation data from the US. WIG20 index lost 2.39 percent. June 10, and the WIG was lower by 2.04 percent at the same time. mWIG decreased by 1.44 percent, and sWIG80 by 1.09 percent. Such results for the WIG20 index were recorded for the last time in November 2020.
In Germany, 1/3 of the energy comes from coal
Germany declares that it will become a climate neutral country within the next two decades. For now, however, it is hard to believe, because a large part of the electricity in German power plants is generated from fossil fuels. According to the data of the Federal Statistical Office for the first quarter of 2022, about 1/3 of the total energy is produced from coal.
More than half, exactly 52.9 percent. of the total amount of electricity produced, i.e. 143.8 billion kWh, came in Q1 2022 from sources such as coal, natural gas and nuclear energy. On the other hand, renewable energy accounted for 47.1 percent.
Oil rises after the lockdown in China is lifted
Until recently, China was struggling with another wave of COVID-19 cases. The authorities decided to act radically to prevent the spread of the pandemic, which is why they introduced a lockdown. Nevertheless, in the second week of June 2022, it was largely abolished.
In response to such information coming from China, crude oil began to rise in price on the markets. In China, the demand for this raw material is growing, which supports its price. As a result, on June 7, too West Texas Intermediate oil barrel July deliveries to NYMEX in New York were paid $ 119.25, or 0.63 percent. more. Brent oil barrel for the ICE in London in July deliveries, it was valued at USD 120.29, which means an increase of 0.65 percent.
Copper prices are dropping from their highs in 5 weeks
Comex and LME brokers report that copper prices are falling. In London, on the LME, copper in 3-month deliveries decreased by 0.8 percent. up to USD 9,671.00 per ton. Prices are dropping from highs in 5 weeks amid rising concerns about global economic growth.
Behind copper on the Comex exchange last week, it was traded at $ 4.3870 per pound, or 1.08 percent. less.
The yen is at its lowest in 20 years, the dollar is gaining
As expected, the US Federal Reserve made another monetary tightening last week. The increase in interest rates made it at the beginning of the week exchange rates, including the dollar, appreciated. But at the same time Japanese yen began to depreciate. On Tuesday, June 7, the dollar cost 130,305 yen. This level of valuation on the currency market was last observed in April 2002, when the yield on 10-year treasury bonds rose to 3.05%.
Bitcoin Low Since December 2020
The pace of declines on cryptocurrency exchanges is huge. Unfortunately, the turn of investors from highly risky assets is clearly visible. As a result, the market value of all cryptocurrencies in the world has dropped to just over $ 1 trillion.
It has lost much of its value Bitcoin rate. He tested further technical support. It has not had such low ratings since December 2020. Last week it cost less than $ 25,000.