Cac 40: The US debt agreement does little to boost the Paris Stock Exchange


(BFM Bourse) – The CAC 40 is moving into balance at the end of the morning on Monday in a session with sluggish volumes, in the absence of many investors. The agreement reached between Republicans and Democrats to raise the debt ceiling has yet to pass the caudine forks of Congress.

The Paris Stock Exchange begins the week in general sluggishness. At mid-session on Monday, the Parisian index is close to equilibrium at 7,317.45 points, in low volumes, with 355 million euros traded, shortly after noon.

The animation of the Parisian place suffers from the absence of many operators, since Wall Street, the London Stock Exchange or that of Oslo are closed this Monday of Pentecost. Not to mention that French investors may have taken a holiday on the same day, Whit Monday being a public holiday, even if many companies choose this day as a “solidarity day”.

Rififi in the American Congress?

In these low volumes, the agreement to raise the US debt ceiling, tied this weekend, does not really support risk appetite. It should be noted that the markets had greatly anticipated it on Friday, which had enabled the CAC 40 to gain more than 1.2% at the close.

Moreover, this agreement still needs to get the green light from the US Congress, where each camp could express its dissatisfaction with the compromise reached. The vote will take place on Wednesday in the House of Representatives, then a priori Friday or Saturday in the Senate, according to the leader of the Democrats, Charles Schumer, quoted by AFP.

“There’s always a chance, however slim, that the most intransigent Republicans will undermine McCarthy’s efforts,” the House Republican leader who brokered the deal with Democrats, said. Stephen Innes, of SPI Asset Management.

Regarding the other major events of the week, the most important will take place on Friday with the publication of the US employment report for the month of May.

Orpea steps back

As for values, few movements to note for the moment on the Parisian market. Orpea fell 4.6% after announcing that the Financial Markets Authority had granted a waiver to a group led by Caisse des Dépôts on the obligation to make a mandatory public offer (OPA). This group is to take control of the company following the financial restructuring planned by the group.

On other markets, the euro fell 0.1% against the dollar to 1.072 dollars. For its part, oil is sluggish. The contract for July on Brent from the North Sea fell 0.2% to 76.86 dollars a barrel, while that of the same term on WTI listed in New York was stable at 72.66 dollars a barrel.

Julien Marion – ©2023 BFM Bourse



Source link -84