(CercleFinance.com) – The Paris Stock Exchange ends the session with a gain of 0.35%, 6657 points, notably driven by TotalEnergies (+4.4%), Publicis (+1.7%) and Thalès (+1 .6%).
The CAC40 thus aligns a 7th session within the range 6,600/6,660 points. Across the Atlantic, Wall Street is up 0.7% (S&P500) to +0.9% (Dow Jones), unsurprisingly since in 90% of cases, the US indices rise – for ‘tactical’ reasons – ahead of the long Thanksgiving bridge and ‘Black Friday’ (then ‘Cyber Monday’)… and there are 24 hours left to bring the ‘S&P’ back above the psychological threshold of 4,000. The Nasdaq rose 0.5%.
Investors looking for ‘real’ catalysts will find tomorrow the latest indices of PMI activity in Europe, durable goods orders and consumer confidence from Michigan in the US.
Investors will still be looking for inflection points in inflation, rates and growth, all of which could herald a soft landing for the economy.
For Kiplink, a return to the annual highs, ie to the levels at the start of the year, remains possible.
The latest OECD projections – all revised downwards for 2023 – do not, however, invite optimism: in Europe, the economy should grow by only 0.5% then by +2.2% in 2024, in the United States it will be 0.5% in 2023 and 1% in 2024 (far below the historical average), China will be at +4.6% in 2023 and 4.1% in 2024… provided that ‘zero Covid’ does not suffocate the economy.
But Shanghai is almost confined as of this day: shopping centers, places of leisure, and even parks are closed, in Beijing, it is all the schools, in Guangzhou, 5 million inhabitants are required to lock themselves up. at home, arrivals at airports are under close surveillance, all ‘suspect cases’ are sent to solitary confinement…
Here again, the ‘rumors’ of the easing of ‘zero Covid’ which euphoried the markets do not seem to be based on any concrete reality (the number of ‘cases’ detected is at its highest this year) or change in government strategy: Hundreds of thousands of Chinese are locked up in quarantine in ‘sanitary camps’ and the massive tests amplify the flows of ‘isolated people’.
This raises questions about the solidity of the reasons that have justified the +17% in a straight line of the CAC (and the +21% of the DAX at 14.450) since its trough at the end of September: the index has indeed succeeded in bringing back its annual decline to some 7%, a lag that could be partly absorbed by the myth of the ‘Christmas rally’, which holds that the end of the year is a good time for equities.
On the bond side, and like the day before at the same time, rates only eased by -2Pts on OATs and Bunds (they had erased these gains at the close on Monday) and T-Bonds posted -3Pts at 3.785%.
In company news, Air Liquide and TotalEnergies announce a long-term contract, in the context of the conversion of TotalEnergies’ Grandpuits site into a biorefinery, to produce and develop renewable and low-carbon hydrogen.
Societe Generale announced on Tuesday its intention to create a joint venture with the specialist in asset management AllianceBernstein which would combine their cash and equity research activities.
Orpea announces that it has decided to reimburse the full amount due to the CNSA, i.e., based on the information available, 55.8 million euros, an amount which will lead it to make an additional provision of 30.1 million euros in its 2022 accounts.
EssilorLuxottica announces that it has signed an exclusive ten-year license agreement with Casa di Moda Brunello Cucinelli for the design, manufacture and distribution of prescription frames and sunglasses under the Brunello Cucinelli brand.
Finally, Capgemini announces that it has acquired 23red, a creative agency based in the United Kingdom, specialized in the development of brands and campaigns, which supports clients mainly in the public and charitable sectors.
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