(CercleFinance.com) – The heaviness persists on the Paris stock exchange, which fell -1.2% to 7,020 pts, which provides a gain of +1.1% over the week.
The CAC40 is holding firm above 7,000 the day after a day marked by the sharp drop in the New York indices, the Dow Jones yielding 1.5%, the S&P500 dropping 1.8% while the Nasdaq fell 2%.
Wall Street reopened on a slightly positive note – globally undecided – with +0.3% on the S&P500, +0.4% on the Dow Jones… but the Nasdaq fell by -0.3%.
On the US figures side, the week ends with a new disappointment: the morale of American households, according to the survey by the University of Michigan (U-Mich), fell from 67.2 to 61.7, its lowest score. since October 2011, thwarting a consensus that was counting on a slightly higher figure to 67.5.
The ‘current situation’ component fell from 72 to 68.5, the lowest score since August 2011 (consensus of 73) and the ‘outlook’ fell from 64.1 to 57.4, the worst score since November 2011.
The bond markets reacted little since the yield on T-Bonds barely eased compared to Thursday, from 2.03% to 2.02%.
It’s a little better in Europe with OATs at 0.745% against 0.7600% and Bunds at 0.2750 against 0.2920%.
The markets remain on the defensive the day after the publication of the US inflation figures: the ‘CPI’ indeed stands at +7.5%, an unprecedented price increase since 1982.
“We continue to monitor equity valuations and opportunities given the recent changes in the Fed’s inflation outlook and the impact this will have on the various stocks and sectors in our portfolio,” says David Levine, manager at Neuberger Berman.
‘We believe the inflationary expansion will continue; however, it will be volatile, its magnitude ultimately depending on the Fed’s aggressiveness in the face of rising inflation’, specifies the professional.
James Bullard (FED of St Louis) had pronounced Thursday evening in favor of a rise of 50Pts from March and for rates at 1.00% from July… and he does not exclude announcements ‘ out of schedule’ of the FOMCs on the agenda this year.
In Germany, inflation also remains a real issue: the rise in prices stood at +4.9% for the month of January 2021, according to the Federal Statistical Office, an annualized rate however down by 0 .4 points compared to that of the previous month… but so far from the priority objective of 2% of the Bundesbank.
In the news of French companies, TF1 publishes net income group share more than quadrupled (+307.4%) to 225.3 million euros for 2021, with a current operating margin improved by five points to 14 .1% for a turnover up 16.6% to 2.43 billion.
For its part, the distributor of electrical equipment Rexel reveals a recurring net income up 107% to 575 million euros for 2021, with an adjusted EBITA margin up 196 basis points to 6.2% and a FCF conversion rate of 65.7%.
Ipsen publishes for 2021 an EPS from activities up 24.5% to 9.09 euros and an operating margin from activities improved by 3.2 points to 35.2%, for a turnover up by 10 .7% to 2.87 billion (+12.3% at constant exchange rates).
Worldline jumped by +7% towards 47E (rumor of a plan to buy back its ‘payment terminals’ activity (by the US fund ‘Apollo Global Management’) for nearly $2.3 billion (around 2 billion E).
Copyright © 2022 CercleFinance.com. All rights reserved.
Did you like this article ? Share it with your friends with the buttons below.
