(CercleFinance.com) – The Paris stock market lost 1.22% and ended the session almost at its lowest for the day, at 7406 points, notably penalized by the declines of Eurofins Scientific (-3.7%), Worldline ( -3.3%) or Teleperformance (-2.6%).
This morning, investors learned of several disappointing statistics like the PMI HCOB index for the French manufacturing industry, calculated by S&P Global. This fell from 46 in June to 45.1 in July, its lowest level since May 2020.
This deterioration is the result of declines in production and new orders, for a fourteenth consecutive month.
In Europe, the HCOB PMI for manufacturing, calculated by S&P Global, also fell for a sixth month, falling from 43.4 in June to 42.7 in July, signaling the largest deterioration in the industrial situation in the Eurozone since May 2020.
It also shows its lowest level since the global financial crisis of 2008/2009.
Across the Atlantic, the ISM manufacturing index came out at 46.4 in July (it was 46 in June), while the consensus was counting on a more marked rebound in the index, to around 46.9.
The new orders sub-index rose to 47.3 from 45.6 the previous month, while that of paid prices rose to 42.6 from 41.8 in June.
The employment sub-index for its part deteriorated markedly to 44.4 last month against 48.1.
The figure for construction expenditure also turned out to be below expectations, at +0.5% against +0.7% estimated.
Today’s good surprise comes from the US manufacturing sector, which improved in July. The S&P Global PMI came in at 49.0 for the past month, down from 46.3 in June.
In addition to the statistics, the day was punctuated by numerous quarterly publications from American heavyweights such as Caterpillar (better than expected), Merck and Pfizer. AMD and Starbucks results are expected after the New York close. On the Old Continent, it was notably HSBC, BP, Diageo and Daimler who presented their performances this morning.
Bond markets resumed their slide after a positive start to the session: the ten-year German Bund yield rose by +5.3Pts to 2.518%, our OATs by +5.5Pts to 3.085%, US T-Bonds by +9.2 Pts to 4.05% (this morning, the yield of Treasuries eased not far from 3.95%.
In French company news, Atos (-4%) announces that it has entered into a put option agreement with EP Equity Investment (EPEI), providing for exclusive negotiations to sell it its subsidiary which will hold its Tech Foundations (TFCo) business following the internal reorganization currently being finalized.
Saint-Gobain indicates that it has finalized the sale of CertainTeed’s palisade, barrier and terrace business in the United States to Oldcastle APG, a company of the Irish group CRH.
DBV Technologies publishes a result for the first half of 2023 in net loss of 44.8 million dollars, against a loss of 39.7 million a year earlier, due to an increase in operating expenses to 50.7 million.
Finally, Lagardère announced that the management of Lagardère News, the society of Journal du Dimanche journalists (SDJ) and the trade unions have reached an agreement to put an end to the strike of JDD journalists which began on June 22 after the announcement of the arrival of Geoffroy Lejeune at the head of the JDD.
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