by Claude Chendjou
PARIS (Reuters) – European stock markets ended higher on Tuesday and Wall Street was also in the green late morning in New York, an avalanche of company results and favorable macroeconomic indicators having fueled market optimism.
In Paris, the CAC 40 ended with a gain of 0.81% to 8,105.78 points, with notably a good performance from Accor (+2.76%) and Publicis (+2.5%). The British Footsie, which hit a record at 8,076.52 points, advanced 0.26%. The German Dax, driven by pharmaceutical stocks such as Sartorius (+6.7%) and Merck KGaA (+4.03%), advanced 1.58%.
The EuroStoxx 50 index increased by 1.48% and the FTSEurofirst 300 by 1.14%. The Stoxx 600 reached a high of more than a week during the session thanks in particular to the new technologies sector (+2.55%) and the health sector (+1.35%). It closed with a gain of 1.11%.
In the United States, the Dow Jones advanced by 0.50%, the Standard & Poor’s 500 by 1.01% and the Nasdaq by 1.4%, at the time of closing in Europe. US stock indices are driven by mega-caps like Meta Platforms, Microsoft and Alphabet, which are up 1.4% to 2.3%.
Among the many results of the day, General Motors climbed 4.48% after reporting better-than-expected quarterly accounts, while Spotify soared 14.86% after announcing a 19% increase in the number of its users. monthly assets, at 615 million.
VALUES IN EUROPE
Renault, whose shares have gained nearly 29% since the start of the year, gained another 0.40% on Tuesday after reporting its best quarter in five years.
OVH fell 17.60% due to the lowering of its annual turnover target.
SAP climbed 5.27% after a 24% increase in its cloud revenues in the first quarter and a confirmation of its annual outlook.
Novartis jumped 1.81% thanks to the increase in its annual forecast for its psoriasis and arthritis treatment, Cosentyx.
Telecom Italia (TIM) gained 1.79% as the operator’s shareholders prepare to renew the mandate of its managing director Pietro Labriola so that he can carry out the sale of the fixed telephone network and the restructuring of the band.
Randstad fell 7.22% as the interim recruitment group disappointed with quarterly operating profit.
TODAY’S INDICATORS
In the euro zone, private sector activity rebounded in April, supported by services, allowing the composite “flash” PMI index to rise to 51.4 after 50.3 in March.
In Great Britain, growth in activity accelerated this month with a “flash” composite PMI index at 54.0 after 52.8 in March.
In the United States, the services PMI slowed to 50.9 in April and that of the manufacturing sector to 49.9, according to initial estimates.
CHANGES
The dollar lost 0.32% against a basket of reference currencies, including the euro which traded at 1.0691 dollars (+0.35%) and the pound sterling which traded at 1.2427 dollars (+ 0.63%).
The Japanese currency hit a new low on Tuesday since 2008 against the euro, at 165.62 yen, and since 1990 against the dollar, at 154.87 yen. This reinforces the prospect of intervention by the Japanese authorities as the Bank of Japan (BoJ) makes its monetary policy decision on Friday.
RATE
Bond yields in the euro zone ended practically stable after PMI indices which did not provide new signs on the direction of the policy of the European Central Bank (ECB). Luis de Guindos, the vice-president of the ECB, further declared that the institution should reduce its rates in June but should then be very cautious and take into account the decisions of the American Federal Reserve (Fed).
The ten-year German Bund yield ended up 1.5 basis points, at 2.503%.
That of US Treasury bonds of the same maturity fell at the same time by three basis points, to 4.5901%.
OIL
Oil prices are volatile as investors digest PMI data: around 4:00 p.m. GMT, Brent rose by 0.84% to $87.73 per barrel and US light crude (West Texas Intermediate, WTI) by 0. 95% at $82.68.
(Written by Claude Chendjou, edited by Blandine Hénault)
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