Friday, July 10, 2026 concluded a mixed week on global financial markets. European stock exchanges recorded a positive close, supported by a mix of good corporate results and a climate of cautious optimism about the continental economy's performance. Wall Street, on the other hand, showed greater prudence, reflecting persistent concerns related to inflation and the Federal Reserve's interest rate outlook.
European Stock Exchanges: Weekend Optimism
Friday's session saw indices in the Old Continent advance, consolidating weekly gains. The DAX 40 in Frankfurt closed at +0.72%, settling at 19,345 points, its highest level since mid-June 2026. In Paris, the CAC 40 gained 0.65%, closing at 7,980 points, while in Milan, the FTSE MIB recorded an increase of 0.58%, reaching 35,120 points. The pan-European index Euro Stoxx 50 ended the day with a rise of 0.68%, at 5,150 points.
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The main driver of this positive performance was the start of the Q2 2026 earnings season, with several European companies, particularly in the technology and financial sectors, reporting better-than-expected results. Added to this was the publication, earlier in the week, of the Eurozone Services PMI data for June 2026, which showed unexpected resilience in economic activity, helping to dispel, at least in part, recession fears. Despite the European Central Bank's cautious stance regarding future rate cuts, expectations of their moderation in the medium term continue to provide some support to sentiment.
Wall Street: Caution on Rates, Persistent Inflation
Overseas, the session on Friday, July 10, 2026, opened with Wall Street slightly down, after a cautious close on Thursday, July 9, 2026. The Dow Jones Industrial Average closed yesterday at -0.25%, and in the morning (New York time), a decline of 0.15% was recorded. The S&P 500 gave up 0.30% at Thursday's close, with an additional -0.20% at Friday's open, while the technology-sensitive Nasdaq Composite showed a greater decline, closing at -0.45% yesterday and recording -0.35% today.
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US investor nervousness was fueled by this week's June 2026 core inflation data, which showed stronger-than-expected persistence, settling at 3.8% year-on-year. This data reinforced expectations of a Federal Reserve still inclined to maintain a restrictive monetary policy longer than anticipated, as also confirmed by recent statements from some FOMC members. Weekly jobless claims for the week ended July 4, 2026, while slightly decreased, did not provide enough momentum to mitigate rate concerns.
Bonds and Spread
On the bond front, European government bond yields showed a slight decline, in line with optimism in stock markets. The yield on the 10-year German Bund stood at 1.95% on Friday, July 10, 2026, down 3 basis points from Thursday's close. Similarly, the yield on the 10-year Italian BTP fell to 3.60%, bringing the BTP-Bund spread to 165 basis points, a slight contraction from 168 basis points at the beginning of the week. In the United States, the 10-year Treasury yield remained stable at 4.20%, maintaining pressure on equity markets.
Currencies and Commodities
In the foreign exchange market, the euro continued to strengthen slightly against the dollar, with the EUR/USD exchange rate settling at 1.0930 on Friday afternoon, up from 1.0880 at the beginning of the week, benefiting from Europe's relative economic strength and the ECB's positioning.
Commodities showed mixed movements. The price of Brent crude oil closed the week at 82.50 dollars per barrel, slightly down from 83.10 dollars on Thursday, influenced by global demand fears due to persistent inflation. Gold, considered a safe haven, maintained stable prices around 2,320 dollars an ounce, failing to fully capitalize on Wall Street's uncertainties.
Cryptocurrencies
The cryptocurrency sector had a relatively calm day on Friday, July 10, 2026. Bitcoin remained stable around 62,500 dollars, consolidating levels reached after recent movements. Ethereum also showed sideways trading, hovering around 3,500 dollars, without any particular shocks or significant new drivers.
Disclaimer: The information contained in this bulletin is provided for informational purposes only and does not constitute investment advice in any way. The scenarios and data presented are based on a plausible simulation for the date indicated.