PARIS: World stock markets are up on Thursday, even if the European Central Bank was a little less favorable to investors than its American counterpart the day before, which caused a change in trend in Europe.
After the American central bank on Wednesday, the European, English and Swiss central banks all kept their key rates unchanged. Only the Bank of Norway continued to raise its rates, although signaling that this would probably be the last time before a pause.
But the progression in Europe at the end of the session was less impressive than during the first exchanges: If London gained 1.33%, Paris only gained 0.59% and Frankfurt even finished in the red (-0 .08%).
Wall Street, which already ended sharply higher on Wednesday, continues its momentum after solid retail sales data: the Dow Jones gained 0.31%, the S&P 500 0.41% and the Nasdaq 0.30% towards 4:45 p.m. GMT.
Unlike the American Central Bank, “the time for discussions on rate cuts has not yet come” for the European Central Bank (ECB) retains Juliette Cohen, strategist at CPRAM after the press conference of the president of the Christine Lagarde institution.
“There is still a lack of data on salaries and more generally on the labor market,” explains Ms. Cohen.
Christine Lagarde even announced her intention to further reduce the size of her balance sheet from mid-2024, six months earlier than planned, a measure not favorable to economic activity.
On Wednesday, investors particularly welcomed the fact that Fed officials are planning between three and four rate cuts over the next year, a significant movement even if the markets are projecting even more.
On the bond market, the interest rate on the ten-year United States debt has fallen below 4%, a first since July. Around 4:40 p.m. GMT, it stood at 3.88%.
The yield on Germany’s ten-year debt fell sharply to 2.11%, near its lowest level since March 2023, compared to 2.17% at Wednesday’s close, before the Fed’s announcements. .
The dollar in pain
The green currency suffered after the more offensive tones of central banks in England and the euro zone, compared to those of the Fed.
The euro gained 1.14% to 1.0998 dollars, the pound 1.19% to 1.2768 dollars, the yen 0.94% to 141.53 yen per dollar.
Real estate celebrates possible rate cut
The shares of companies in the real estate sector are benefiting from the prospects of rate cuts.
In Paris, Unibail-Rodamco-Westfield climbed 5.50%, Nexity 9.56%. In Frankfurt, Vonovia took 8.62%, LEG immobilien 6.85%. In London, IWG rose 5.74%.
Other companies sensitive to interest rates, such as Alstom in France, benefited (+8.88%).
Adobe disappoints, Moderna hopes
The Adobe software group fell more than 5%. If the company posted good results for the fourth quarter with a turnover of $5.05 billion, the group expects sales to be lower than expected.
Moderna soared 12.70%. The laboratory hopes that its therapeutic vaccine against skin cancer will be approved as early as 2025, after new positive results announced on Thursday. Its competitor Pfizer fell 0.93% after losing almost 7% the day before for having revealed disappointing 2024 forecasts.
2023-12-15 00:37:07
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