(CercleFinance.com) – The Paris Bourse has been oscillating since 3:45 p.m. between red and green after having erased the initial -1.3% (9:30 a.m.) and posted up to +0.6% two hours later (more than 100 Pts resumed, ie the exact symmetrical of Tuesday’s session) before positioning itself a little above 6.420.
The CAC seems to be benefiting from the strong appreciation of the Dollar, which has gained nearly 1% against the Euro, while the rebound in the US indices is struggling to go the distance (the Dow Jones grabs 0.3%, the S&P500 +0, 5%, which remains very modest compared to the -2.5% lost the day before).
The suspension of gas deliveries by Gazprom to Poland and Bulgaria reinforces expectations of inflationary pressures in Europe, synonymous with a symmetrical weakening of the currency.
The ‘fact of the day’ is indeed the new floor of the Euro against the $: it literally plunges -1.2% to 1.0515 and sinks below its floor of 1.0640 on March 18, 2020 (i.e. -7.5% since January 1, a 5-year low), it also lost 0.5% against the Pound towards 0.8415.
The Euro is suffering from disappointing household morale figures in Europe: the INSEE barometer has fallen from 90 to 88 while German consumer morale has plunged to an all-time low, weighed down by the war in Ukraine which is exploding the inflation.
The GfK index stands at -26.5 points, down 10.8 points compared to the month of April itself revised downwards, to -15.7 points.
Reminder: the previous depression record dates back to May 2020, with a score of -23.1.
These figures have little impact on our Treasury bonds since our OATs are down by -0.5pt, Bunds by -1.5pt, but BTPs are down by the same amount.
Across the Atlantic, stocks of US wholesalers rose by 2.3% in March compared to February (against +2.6% the previous month): US T-Bonds eased by -3Pts to 2.742%.
Investors should refrain from over-committing while awaiting the continuation of the mixed corporate earnings season: Apple may tip the scales tonight in favor of the optimists, but it may be be the last chance… the Meta Platform quarterlies having less impact.
In Europe, several tenors such as Deutsche Bank, Mercedes-Benz, Air Liquide, Schneider Electric or STMicroelectronics unveiled their quarterly performance this morning.
On values in Paris, Air Liquide Group revenue reached 6,887 million euros in the 1st quarter of 2022, up +7.9% like-for-like (+29% as published). Gas & Services revenue reached 6,590 million euros, up +7.1% like-for-like. Published sales for the 1st quarter of 2022 were up by +29.1%.
STMicro posted net revenue of $3.55 billion in the first quarter of 2022, up 17.6% year-on-year. Net income and diluted earnings per share increased to $747 million and $0.79 respectively, compared to $364 million and $0.39 respectively in the first quarter of 2021.
Schneider’s revenue stood at 7,566 million euros in the first quarter of 2022, up +9.8% organically and +15.9% as reported. The Group confirms its objectives for the 2022 financial year: 2022 adjusted EBITA organic growth of between +9% and +13%, organic revenue growth of between +7% and +9%.
TotalEnergies announces the acquisition of Core Solar based in Austin (Texas). Its portfolio includes over 4 GW of solar and storage projects in various stages of development in various states and US power markets.
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