(BFM Bourse) – The CAC 40 ended up 0.6% on Tuesday during a session without much news. Inspired by Wall Street, the technology compartment performed well, relegating bond rates to the background.
Tuesday’s session looked like the day before. A clear progression was observed in the morning before losing a little vigor during the afternoon. But the CAC 40 finally connects a second session in the green, taking 0.59% to 7240.88 points.
Not much to eat for the markets in terms of indicators, except for sales of existing homes in the United States, which fell more than expected in July, by 2.2% on a year.
The market rise was not fueled by a real catalyst, but was supported by a rebound in technology stocks, in the wake of the Nasdaq which gained nearly 1.6% on Monday and was still up 0.44%. this Tuesday, shortly before the European close on Tuesday.
On the CAC 40, STMicroelectronics (+2.5%) and Capgemini (+1.36%) were among the biggest increases in the flagship index of the Paris Stock Exchange.
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Nvidia to watch Wednesday night
Despite this recent rally in equities, “it’s hard to escape the feeling that equity markets are starting to get more and more vulnerable,” said Michael Hewson, market analyst at CMC Markets.
Especially since the rise in tech stocks is somewhat contradictory, as it comes at a time when bond yields are very high, which should normally weigh on their valuations and their prices. Although down on Tuesday, the yield on the 10-year US Treasury note remains above 4.335%, a level that dates back to the end of 2007.
The market is now awaiting the major events of the week, namely the publication of Nvidia’s quarterly results on Wednesday evening and the intervention of the Chairman of the Federal Reserve (Fed), Jerome Powell, at the Jackson Hole symposium, Friday.
On values, the star of the day was clearly the video game publisher Ubisoft which won 8.5% carried by the announcement of the acquisition of the “cloud streaming” rights of Activision Blizzard, if the acquisition of this group by Microsoft is coming to an end.
Cable maker Nexans gained 3.8% as Goldman Sachs raised its price target and confirmed its buy recommendation.
On other markets, the euro fell 0.4% against the dollar to 1.0852 dollars. Oil prices are sluggish. The October contract on Brent from the North Sea fell 0.3% to 84.28 dollars, while that of the same expiry on WTI listed in New York fell 0.1% to 80.65 dollars a barrel .
Julien Marion – ©2023 BFM Bourse