Oil leap, Wall Street rebound … CAC 40 The week should start in good shape, even if the trend remains weakened. President Biden’s $ 1.9 billion stimulus package received Senate approval with 50 Democratic votes to 49 Republican votes. Stimulus includes $ 1,400 checks to millions of Americans, unemployment benefits $ 300 per week, until September 6, when the first aid was to stop at March 14 initially, as well as funds for immunization and for local governments. This is clearly one of the biggest plans relaunch of history “, underlines Saxo Bank.
The adoption of the Biden administration’s stimulus plan is “excellent news for the US economy but bad news for the financial markets,” Judge Christopher Dembik, of Berenberg, for his part. “The amount of 1900 billion dollars that will be injected into the economy will considerably strengthen investors’ fears about the rise in bond yields. There is every reason to fear that this week will be marked by new tensions on the bond market. both sides of the Atlantic, which will particularly put pressure on the European Central Bank (ECB), which is meeting on Thursday. The stock market week should therefore be marked by an increase in volatility and also by a return of risk aversion “, warns the expert. One thing is certain, the stakes will be high for Christine Lagarde, who will have to convince operators that the ECB is ready to act at any time in order to guarantee optimal financing conditions for States and companies in the euro zone.
>> To read also – Tesla, Signal… “the stock market is crazy, beware of the crash!”
Technical analysis of the CAC 40
From the point of view of graphic analysis, the DayByDay design office observes the formation of a new doji, a balance doji with a small body and with high and low wicks. This candle shows that a battle between buyers and sellers has taken place in the middle of the triangle widened to 5,766 points. Volumes, up to 4.2 billion, reinforce this reading: the future trend is playing out now. A close break of 5,766 points would send prices to the February bullish gaps.
The values to follow today
VALNEVA
Valneva and Pfizer today announced the initiation of VLA15-221. Study VLA15-221 builds on positive initial data from two previously launched Phase 2 studies, includes new vaccination schedules and is expected to provide the latest Phase 2 data before a possible decision to initiate pivotal Phase studies 3, recall the two laboratories in a press release. As announced in December 2020, VLA15-221 is an observer-blind, placebo-controlled Phase 2 randomized clinical study.
>> Find here our Stock Market Tips of the day
AIRBUS
Airbus took stock Friday evening on its commercial activity for the month of February 2021. Thus, the aeronautical group delivered 32 commercial planes last month to 20 customers. At the same time, 11 new orders were recorded. In January, Airbus had delivered 21 planes. Since the start of the year, Airbus has therefore delivered 53 aircraft. Remember that the group intends to deliver the same number of aircraft this year as in 2020 (566 units).
>> To read also – Attention, inflation is back (and it will hurt!)
PERNOD RICARD
Pernod Ricard has announced the signing of an agreement to acquire a majority stake in La Hechicera, an ultra-premium Colombian rum brand launched in 2012. “La Hechicera is already popular with rum lovers, not only in its country of origin, Colombia, but also in various international markets, notably in Europe and the United States, as well as in the Travel Retail networks “explains the world number two in wines and spirits.
TOTAL
Total posted the largest increase in the CAC 40 index last week thanks to the significant rise in oil prices. At the end of the day last Friday, the price of Brent exceeded 69 dollars a barrel, up nearly 3%. It was supported by the meeting of the “Opep +” on Thursday, during which the member countries of the cartel and their allies decided to extend by one month the reduction in their production, despite exceptions granted to Russia and in Kazakhstan.
On the statistics side
Investors will read the Sentix Eurozone investor sentiment index for March at 10:30 am. In the United States, the evolution of wholesale inventories in January is expected at 4 p.m. Around 8:30 a.m., the euro gave up 0.2% to $ 1.1889.
Friday in Paris
European financial markets ended the day lower, after briefly turning green after strong US labor market figures. The United States indeed created 379,000 jobs in February, much more than expected the Reuters consensus (182,000). Unfortunately, insufficient to permanently reverse the trend, whereas yesterday Jerome Powell remained vague concerning a possible intervention by the Fed to calm the rate market. At the close, the CAC 40 lost 0.81% to 5,783.24 points, and the Euro Stoxx 50, 0.75% to 3,676.88 points.
Friday on Wall Street
The American markets rebounded sharply thanks in particular to technology stocks. The good news of the day – far more job creation than expected – has also had the effect of squeezing bond yields over the long term. That of the 10-year American thus rose above 1.6% in the afternoon before falling back to 1.56%. On Thursday, Fed Chairman Jerome Powell provided no sign that the central bank would seek to stem the rise. The Dow Jones gained 1.85% to 31,496.30 points and the Nasdaq Composite, 1.55% to 12,920.15 points.
–
