Paris (awp/afp) – The Paris Stock Exchange ended up 0.56% on Monday, the surge of optimism which had won Wall Street investors on Friday regarding the evolution of the economy having continued at the start week.
The flagship CAC 40 index rose 41.61 points to 7,413.25 points. On Friday, it ended down 0.40% (-1.25% over the week), investors taking note of speeches from central bankers telling them to review their expectations on key rate cuts during the year.
For Sophie Chauvellier, manager of Dorval AM, the session was “calm, in the wake of last weekend”.
Friday, “we had good figures on the activity front and consumer confidence which came out better than expected”, she lists.
The publication of this second indicator caused the Wall Street indices to soar, allowing the S&P 500 to beat its absolute record established two years earlier, and the Dow Jones to beat its previous peak in December.
Stock markets are once again driven by the return of the “goldilocks scenario”, according to Sophie Chauvellier: inflation which is gradually returning to an acceptable level without growth being derailed. The prospect of falling interest rates also supports investor optimism.
On the bond market, interest rates on sovereign debt are falling slightly in Europe and the United States. They had increased since the start of the year after statements from central bankers which pushed investors to review their expectations for a scenario of lowering rates later and less quickly than expected.
The yield on the ten-year French government bond stood at 2.79% around 5:55 p.m. (4:55 p.m. GMT), compared to 2.83% on Friday at the close.
Numerous macroeconomic indicators and microeconomic publications will fuel investor speculation: leading indicators of PMI activity are expected in Europe and the United States on Wednesday, followed by the publication of fourth-quarter American growth on Thursday and the index PCE inflation in the United States on Friday.
Markets will also be watching announcements from the Central Bank of Japan and the European Central Bank which are meeting this week.
Finally, on the corporate side, LVMH, STMicroelectronics and Rémy Cointreau are among the companies that will publish their annual results this week.
Companies “were protected by very full order books and from now on this will be less the case”, underlines Sophie Chauvellier, who predicts that the markets will be very attentive to the prospects presented.
Crédit Agricole at the bedside of Worldline
Crédit Agricole announced on Monday its entry as a “long-term minority shareholder” in the capital of the payments specialist Worldline, which has been battered on the stock market for several months, with 7% of the shares.
Worldline gained 0.65% to 13.20 euros, and Crédit Agricole 0.53% to 13.30 euros.
In the banking sector, Société Générale (+0.99% to 23.37 euros) plans to cut more than 500 positions in France, as part of a cost reduction plan launched by new general director Slawomir Krupa, according to the Bloomberg agency.
The FDJ bets on Unibet
Forming “a European champion in games of money and chance”: Française des Jeux announced on Monday that it wanted to strengthen its position in Paris and online games with the launch of an offer for the Swedish operator Kindred, which notably owns Unibet, for 2.6 billion euros.
Kindred, listed in Stockholm, soared by more than 16% without reaching the price of the public purchase offer. The FDJ gained 6.23% to 36.50 euros.
jvi/max/as
2024-01-23 07:26:36
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