PARIS (Reuters) – The main European stock markets are in the green on Wednesday morning in a context of renewed optimism on the markets which allows the indices to set new records after solid company results while the session is poor in macroeconomic indicators.
In Paris, the CAC 40, which reached an absolute high of 8,107.41 points, rose 0.13% to 8,097.75 points around 08:40 GMT. In Frankfurt, the Dax gained 0.04% after a session record of 18,001.42 points. In London, the FTSE 100 advanced 0.07%.
The EuroStoxx 50 index increased by 0.09% and the FTSEurofirst 300 by 0.04%. The Stoxx 600 advances by 0.03%, after an unprecedented peak at 507.3 points.
Futures contracts on Wall Street foreshadow an almost stable opening for the Dow Jones, the Standard & Poor’s 500 and the Nasdaq the day after a session in the green marked by strong increases in Oracle (+11.7%) and from Nvidia (+7.2%).
Read also…
The good performance of the stock markets is fueled by investors’ conviction that the interest rates of the American Federal Reserve (Fed), which meets next week, will fall in the coming months, despite the rebound in February in prices. consumption in the United States.
“This does not end the prospect of an interest rate cut for mid-2024,” said Vishnu Varathan, chief economist at Mizuho Bank, noting that one month’s data is not enough to change the outlook. expected trajectory on borrowing costs.
On the bond market, ten-year sovereign yields in the United States and the euro zone eased slightly on Wednesday while François Villeroy de Galhau, member of the European Central Bank (ECB) judged “very likely” a reduction in the rent of money in the spring.
On the economic indicator side, the main statistic of the day concerns the monthly figures for industrial production in the euro zone, which could provide information on the evolution of the economy in the bloc.
In terms of values, corporate news is driving discussions, particularly with BNP Paribas which rose 2.71% after confirming its net profit and dividend distribution objective for the next three years.
Vallourec jumped 6.73% thanks to Arcelormittal (-1.26%) taking a stake in its capital for around 955 million euros.
Inditex advances by 4.81%, the owner of the Zara brand having reported a jump of 30.3% in its net profit in 2023, while Zalando soars by 12.79% after a quarterly profit higher than the expectations and the announcement of a share buyback program.
E.ON climbs 5.42% thanks to an increase in its five-year investment objective, to 42 billion euros.
Adidas, on the other hand, fell by 3.68%, the German sports equipment manufacturer having announced that it anticipated a drop in its sales in North America this year.
(Writing by Claude Chendjou, edited by Kate Entringer)
©2024 Thomson Reuters, all rights reserved. Reuters content is the intellectual property of Thomson Reuters or its third party content providers. Any copying, republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. Thomson Reuters shall not be liable for any errors or delays in content, or for any actions taken in reliance thereon. “Reuters” and the Reuters Logo are trademarks of Thomson Reuters and its affiliated companies.