Relapse in interest rates and timid stock market growth - Finance

Relapse in interest rates and timid stock market growth – Finance

After the worst first half since 1970, the stock markets began the second half of the year with a slight increase. Fears about growth remain strong due in particular to the decline in manufacturing activity indicators in the United States and Europe in June.

But interest rate pressure is easing. The yield on the 10-year US Treasury fell to 2.8% from 3.5% in mid-June.

News : Kohl’s – Franchise Group

On Wall Street, Kohls fell by more than 20% at mid-session following the cessation of negotiations with Franchise Group. The latter had offered to buy the chain of department stores at a price of 60 dollars per share in early June. But it cut its offer to $53 last week citing deteriorating funding conditions and the retail sector. In particular, more and more distributors are faced with excess inventory and have to grant more discounts, which weighs on their margins. In the case of Kohlsthis adds to doubts about the long-term viability of the model due to competition from e-commerce which has already precipitated the bankruptcy of the former giant Sears in 2018.

Euronext Brussels: Elia – Colruyt / Umicore – Nyxoah

On Euronext Brussels, Elia (+4.3%) confirmed its renewed form after its fall in mid-June following the announcement of a capital increase.

Colruyt (+3.9%) recovered after its 45% plunge in the last 12 months.

On the side of the losers of the day, Umicore (-3.4%) remains under pressure since the announcement of its strategic plan last week.

Off index, Nyxoah (-6.8%) fell to a new low during the session.

But interest rate pressure is easing. The yield on the 10-year US Treasury fell to 2.8% from 3.5% in mid-June.Actu : Kohl’s – Franchise GroupOn Wall Street, Kohl’s fell more than 20% at mid-session following the termination of negotiations with Franchise Group. The latter had offered to buy the chain of department stores at a price of 60 dollars per share in early June. But it cut its offer to $53 last week citing deteriorating funding conditions and the retail sector. In particular, more and more distributors are faced with excess inventory and have to grant more discounts, which weighs on their margins. In the case of Kohl’s, this adds to doubts about the long-term viability of the model due to competition from e-commerce which has already precipitated the bankruptcy of the former giant Sears in 2018.Euronext Brussels: Elia – Colruyt / Umicore – NyxoahOn Euronext Brussels, Elia (+4.3%) confirmed its return to form after its fall in mid-June following the announcement of a capital increase.Colruyt (+3.9 %) recovered after its 45% drop in the last 12 months. On the losing side of the day, Umicore (-3.4%) remains under pressure since the announcement of its strategic plan last week. Nyxoah (-6.8%) fell to a new intraday low.

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