Europe ends a hesitant session up slightly – 06/06/2023 at 18:39


The graph of the German DAX stock price index at the Frankfurt stock exchange

by Claude Chendjou

PARIS (Reuters) – European stock markets ended up slightly on Tuesday and on Wall Street two of the three indices were also in the green late morning in New York, in a hesitant session linked to questions about the economy and interest rates. interest.

In Paris, the CAC 40 ended with a gain of 0.11% to 7,209 points. The British Footsie advanced 0.37% and the German Dax gained 0.18%.

The EuroStoxx 50 index gleaned 0.05%, while the FTSEurofirst 300 rose 0.37% and the Stoxx 600 0.38%.

At the close in Europe, the Dow Jones fell 0.1%, while the Standard & Poor’s 500 advanced 0.16% and the Nasdaq 0.41%.

The equity markets alternated during the session with one foot in the red and another in the green due to the latest contrasting macroeconomic indicators in Europe and the United States. These bear witness on the one hand to the slowdown in inflationary pressures, including on wages, and on the other to a rapid deceleration in service activity and a contraction in the manufacturing sector while employment remains dynamic.

The World Bank, however, on Tuesday raised its global growth forecast for 2023 as the United States and other major economies proved more resilient than expected, while warning that higher interest rates would lead to a deeper slowdown. than expected next year.

The US Federal Reserve (Fed) and the European Central Bank will make their monetary policy decisions next week. On this file, uncertainties also remain, Christine Lagarde, the President of the ECB, having declared on Monday that she did not see “tangible proof” of a peak in underlying inflation, while in the United States, the markets money markets are preparing for a break in rates this month but a rise in the cost of credit in July.

A sign that a surprise is always possible, the RBA, Australia’s central bank, unexpectedly raised its key rate to 4.1% on Tuesday, thwarting the scenario of a status quo.

AT WALL STREET

Apple fell 0.50%, DA Davidson having lowered its advice to “neutral” the day after the presentation by the Californian group of a new mixed reality headset at 3,499 dollars which allows it to enter a market dominated by Meta (+1.56%).

Coinbase plunged 11.59%, the Securities and Exchange Commission (SEC), the stock market policeman, having launched legal proceedings against the crypto-asset exchange platform.

VALUES IN EUROPE

Novo Nordisk (+1.18%) led the European health compartment (+1.18%) with the announcement of negotiations for the acquisition of the French designer of medical devices Biocorp (+15.70%).

Monte dei Paschi jumped 5.01% on news that the bank might be interested in a merger with BPER Banca (+0.24%).

Publicis (+3.46%) finished at the top of the CAC 40, taking advantage of the announcement Monday evening of the takeover of Corra in the United States for an undisclosed amount.

On the downside, TotalEnergies, the second largest decline in the CAC 40, dropped 0.92% with the decline in the oil and gas compartment (-0.3%). Shell lost 0.50% after announcing its withdrawal from retail operations in some markets in Europe.

THE INDICATORS OF THE DAY

Retail sales in the euro zone remained stable in April compared to March, but they fell by 2.6% on an annual basis, according to Eurostat.

Industrial orders in Germany fell unexpectedly in April, by 0.4% over one month, data from the Federal Statistical Office show.

RATE

The yield on the ten-year German Bund, a benchmark for the whole of the euro zone, ended almost unchanged at 2.371% after erasing the gains obtained in the morning following an ECB survey showing a drop in expectations. consumer inflation in the bloc.

In the United States, the yield on ten-year Treasuries is also practically stable, at 3.7082%.

CHANGES

The dollar appreciated (+0.12%) against a basket of benchmark currencies after the Bank of Australia’s surprise decision on rates. Investors are also awaiting the monthly US inflation figures which will be published on June 13, on the eve of the Fed’s monetary policy decision, whose members are now subject to a period of silence.

The euro is displayed at 1.0692 dollars (-0.19%).

Among cryptocurrencies, bitcoin rebounded to $26,157 (+1.62%) after falling 5% on Monday due to Binance’s setbacks.

OIL

The oil market is the victim of profit taking the day after a session driven by the announcement of a further drop in production from Saudi Arabia: Brent yields 0.7% to 76.17 dollars a barrel and the American light crude (West Texas Intermediate, WTI) 0.6% to 71.72 dollars.

(Written by Claude Chendjou, edited by Jean-Stéphane Brosse)



Source link -86