(Boursier.com) — The flagship Parisian index, the CAC 40, has now lost 1.22% to 7,284 pts, putting an abrupt end to its fine bull run of six sessions. Caution therefore prevails while waiting for the wave of US quarterly publications, and despite the signs of appeasement on the US inflation front leaving the Fed more leeway. The weakness of the Asian places this morning after the Chinese statistics also weighs down the atmosphere. Finally, Sino-American tensions could also complicate the situation regarding certain technological segments linked to AI and semiconductors.
The barrel of WTI crude lost 1.5% on Nymex and Brent North Sea oil posted a comparable decline, after Saudi Arabia announced that it would extend the voluntary reduction until the end of December 2024. gold points slightly lower, like industrial metals. The markets are therefore once again becoming defensive after last week’s significant gains. Disinflationary traction and soft landing hopes have recently supported risk appetite. While the Fed is expected to raise rates by 25 basis points on July 26 (96% probability according to FedWatch), the probability is minimal of another rate hike by the end of the year, and monetary easing are then not to be excluded from the month of March. At the same time, there remain counterpoints to the disinflation narrative, namely resilient economies and still tight labor markets, still strong messages from the Fed on “higher for longer” rates, and other banks powerhouses still firmly in tightening mode.
On the macroeconomic front, China’s second-quarter GDP data showed a slowdown, while annual growth was lower than expected. Official data released on Monday shows that China’s gross domestic product therefore slowed to 6.3% year-on-year against 7.3% expected and that retail sales growth decelerated year-on-year to 3.1%. Industrial production, however, came out above expectations over one year (+4.4%)… These mixed figures logically weigh on the luxury sector.
Rising values
Nanobiotix picked up 1.6%, still lively on the stock market after the long-awaited global license agreement with Janssen for NBTXR3.
Falling values
Alstom (-0.2%) and Akiem, a European rolling stock leasing company, signed a framework contract for 100 Traxx Universal multi-system locomotives. The order includes a firm block of 65 locomotives. The total amount of the framework contract is 500 million euros. With this order, Akiem confirms its leadership on the European leasing market as well as its ambition to contribute to the development of the rail market, with major investments on the corridors going from France to a dozen other European countries.
Exail Technologies (-1.4%) today announces a new order for its DriX autonomous surface drone from a world leader in sea operations services based in the United States. This civilian player is strengthening its operational capacities in order to respond to the growing number of current and future offshore projects, such as offshore wind farms.
rally stumbles 7.9% while Casino is suspended on the stock exchange. The battle around the takeover of Casino took a turn on Sunday with the withdrawal of 3F Holding, Xavier Niel, Matthieu Pigasse and Moez-Alexandre Zouari, leaving only the offer associating Daniel Kretinsky with Marc Ladreit de Lacharrière in the running. Casino had set candidates until the evening of July 14 to submit their revised restructuring offers. 3F announced in a press release that it would not submit an offer for the takeover of the Saint-Etienne group, denouncing a lack of information and a “biased” process, and leaving the field open to the rival proposal.
3F wrote in its press release that it had decided not to submit an offer, deploring that Casino did not provide the requested information on “the projection of liquidity and results needs by the end of the year, ( …) on the results of Cdiscount in the second quarter, as on all the off-balance sheet commitments that weigh on the group”. 3F also explains its withdrawal by its refusal because Casino has, according to him, “obviously already chosen its buyer”. This process, adds the investment vehicle of the Niel-Pigasse-Zouari trio, “does not give an equal chance to all candidates and the best possible chance to the Casino group and its employees”.
In an interview with Les Echos published before 3F’s announcement, Daniel Kretinsky said he had submitted a revised offer on Saturday to “take into account comments from secured creditors, but also to take into account, to some extent, the interests of unsecured creditors”.
Dassault Aviation (-0.3%). The Indian government has announced the selection of the Rafale Marine to equip the Indian Navy with a latest generation fighter. Following an international consultation launched by the Indian authorities, this decision comes at the end of a conclusive trial campaign held in India. In this context, the Rafale Marine has demonstrated that it fully meets the operational needs of the Indian Navy, and that it is perfectly suited to the specificities of its aircraft carrier. The 26 Rafale Marine of the Indian Navy will eventually join the 36 Rafale already in service, and “which give complete satisfaction to the Indian Air Force”.
Danone (-0.4%) took note of the decree by the Russian authorities which aims to place Danone Russia under temporary external administration by the Russian authorities. Danone explains that it is currently studying the situation. On October 14, 2022, Danone initiated a process to transfer control of its EDP activities in Russia, which was progressing according to schedule. “Danone is preparing to take all necessary measures to protect its rights as a shareholder of Danone Russia, and to ensure the continuity of the company’s operations in the interest of all stakeholders, and in particular its employees. “, comments the Frenchman. This decision has no impact on Danone’s financial objectives for 2023.
SES-imagotag fell by 6.5%, still volatile on the stock market, following the recent stock market rebound, while the group had managed to reassure the markets following the attacks by Gotham City Research.
Hermes International And LVMH lost 4.3% and 4.4% respectively, while Kering stumbles by 2.1% following Chinese statistics and weak figures revealed by the Swiss Richemont.