(CercleFinance.com) – The Paris Stock Exchange is expected to rise slightly on Friday morning in the wake of Wall Street’s rebound the day before, at the start of a session that still promises to be very rich in terms of economic indicators and business results.
Around 8:15 a.m., the futures contract on the CAC 40 index – maturity in May – advanced 33 points to 7480 points, signaling a modest increase at the opening.
The Parisian market had managed to grab 0.2% to 7483 points yesterday, thus ending a series of three sessions of consolidation which had brought it back below the threshold of 7500 points.
According to Kiplink analysts, this change in configuration marks a first blow to the medium-term bullish momentum of the CAC index by weakening all of its moving averages.
‘If the first supports at 7410 and 7375 were to be broken, the Parisian index would return to a short-term downward trend, but it is still too early to validate a scenario of this type’, underlines the stock market company.
‘In the immediate future, this brake calls for caution,’ however warns Kiplink.
At Berenberg, we talk about the appearance of a ‘kangaroo’ market, which leads investors to take advantage of possible bouts of weakness in prices and to take their profits when the trend becomes more favourable.
‘In the immediate future, we believe that the risks are on the downside for the next few months in view of the contrary elements of monetary tightening, margins under pressure and the American recession,’ warns the German broker.
Wall Street posted strong gains on Thursday, thanks in particular to the surge in Meta shares, whose good results supported the entire technology compartment.
The Dow Jones gained 1.6% to 33,826 points and the Nasdaq Composite 2.4% to 12,142 points.
But the futures contracts indicate for the moment a start of the session without much change in New York following the mixed results unveiled yesterday evening by Amazon and Intel.
The session that opens promises to be very lively with, among other things, the first estimate of economic growth in the euro zone in the first quarter and inflation figures in Germany.
This data will be an important factor in anticipating the magnitude of the next ECB rate hike, namely 25 points (the market’s preferred scenario) or 50 basis points.
The day will be just as lively on the other side of the Atlantic with the publication of household income and expenditure, before the announcement of the consumer confidence index from the University of Michigan.
And the ball of business results is also set to continue, with in particular the accounts of Mercedes-Benz, Eni or Norsk Hydro in Europe which will be followed by those of ExxonMobil, Chevron and Colgate-Palmolive in the United States.
On the foreign exchange market, the dollar regained some strength, rising to around 1.1010 against the euro despite the very disappointing first estimate of first-quarter US GDP published yesterday.
With regard to government bonds, the deterioration continues since the yield on ten-year Treasuries stands above 3.52%, while the German ten-year is still tending towards 2.45%.
Finally, oil prices continue to languish, the barrel of US light crude (WTI) rebounding just 0.5% to 75.2 dollars after its severe correction of the last two weeks.
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2023-04-28 06:32:00
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