Paris (awp / afp) – The Paris Stock Exchange rose sharply by 1.14% on Tuesday, welcoming a reduction in quarantine for travelers arriving in China.
The CAC 40 index rose by 68.57 points to 6,116.04 points. On Monday, it finished down 0.43%, losing its momentum from last weekend.
Expected to be stable before the opening, it was the Chinese government’s announcement to halve the quarantine for arrivals from abroad that allowed the Parisian rating to jump at the opening.
Travelers arriving in China from overseas will now only spend seven days in hotel quarantine and three days of home observation, down from 21 days previously, the National Health Commission said.
These new rules constitute a major change in the entry restrictions imposed by China, which has followed a strict so-called “zero Covid” strategy since the start of the pandemic.
This information temporarily overshadowed the other subjects of investors’ attention.
For several months, the markets have indeed been worried about the impact of inflation and the action of central banks to contain it, on global economic growth.
These concerns are weighing on the stock markets, pushing up bond rates and disrupting the commodity market. After falling sharply since the start of the year, stock market indices now tend to tread water.
“The flood of news did not portend lasting gains anyway!”, commented Ipek Ozkardeskaya, analyst for Swissquote.
Among the latest economic indicators published: the morale of French households continued to decline in June for the sixth consecutive month, households displaying their pessimism about their financial situation and the evolution of the standard of living.
Ditto in Germany where consumer sentiment is expected to reach its historic low in July.
Tuesday, the agenda is light, with only a speech by the President of the European Central Bank Christine Lagarde and the chief economist of the monetary institution Philip Lane.
Michelin sells its activities in Russia
Michelin announced the sale “by the end of 2022” of its activities in Russia, which represent 2% of the group’s sales, while specifying that this operation would have no impact on its financial objectives. The title Michelin took 0.98% to 26.72 euros.
jvi/kd/lum