Cac 40: Despite an upsurge in Covid-19 cases in China, the Paris Stock Exchange has resisted


(BFM Bourse) – After gaining more than 1% on Friday, the Paris Stock Exchange was slowed down as China announced that it had recorded two deaths from the coronavirus. The CAC 40 limits its losses to 0.15% on Monday evening. Oil is at its lowest since January, weighed down by the resumption of the Covid-19 epidemic in China and fears of recession.

The start of the week is cautious on the Paris Stock Exchange after signs of a resumption of the Covid-19 epidemic in China. The country reported the deaths of two Covid-19 patients in Beijing on Monday as several major cities tightened health restrictions.

The CAC 40 closes this first session of the week down 0.15% to 6634.45 points after gaining 0.76% weekly on Friday at the close.

“Recent news has been less good in China, where rising Covid cases sent markets tumbling just as we were seeing improved sentiment,” said Oanda’s Craig Erlam.

“Not only would further lockdowns in major cities be a hit to growth through the end of the year, but they could also complicate plans in place to ease the zero-covid policy next year. We We are again in uncertain territory, which could slow the recovery of the stock markets.

5% drop in oil prices

The slide in the CAC 40 was, however, contained by comments from Philp Lane, the chief economist of the European Central Bank saying that the case for a big rate hike at the next meeting in December had diminished. These remarks denote after the very “hawkish” (restrictive) speeches of the central bankers last week.

The resumption of the Covid-19 epidemic in China, on the other hand, caused a stir in oil prices. Oil prices are weighed down by the prospect of a fall in demand, particularly from the side of the world’s second largest economy, and fears of recession. Brent for January delivery lost 5.20% to $83 while US WTI for December delivery plunged 5.10% to $76.

Ipsen in great shape, Vallourec towards the depths

As for values, Ipsen kept in shape (+4.9%), benefiting from an increase in the price target of the bank JP Morgan to 115 euros against 91 euros.

FDJ celebrates its three years on the Paris Stock Exchange with a nice increase of 3% this Monday evening, devoting an excellent stock market performance since its IPO in 2019.

Vallourec plunged 13.2% after consuming cash in the third quarter. However, the group confirmed its objectives for 2022 and showed its confidence for the fourth quarter.

On the smallest capitalisations, Carmat won nearly 3%. The French company announced on Monday that it had carried out the first implantation of its Aeson heart prosthesis last week for almost a year.

Lysogene fell 19% after announcing the failure of its Phase II/III study evaluating its gene therapy for the treatment of MPS III A, a rare autosomal recessive neurodegenerative lysosomal storage disease that affects approximately 1 in 1 newborn babies. 100,000.

On the foreign exchange market, the dollar is benefiting from the drop in appetite for risk. Thus, the euro lost 0.9% against the greenback at 1.0240 dollars.

Sabrina Sadgui – ©2022 BFM Bourse



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