The Bank of England effect falls, the Cac 40 down more than 1%


The beginnings of a lull fizzled out on the Paris Stock Exchange despite the emergency intervention of the Bank of England (BoE) to bring back “ the order ” on the stairs. The Old Lady of Threadneedle Street has announced that she will temporarily make long-term bond purchases for the amount “ which will be necessary to obtain this result from today until October 14. At the same time, the BoE announced the suspension of its bond issue program.

The rebound in the pound following this decision did not hold up against the flood of criticism of Liz Truss’ tax cuts, including those from the IMF, which called on the British government to review its copy. Global financial markets, which are trading at near two-year lows, are also still facing the specter of recession against a backdrop of tighter monetary policies to curb inflation, all in a climate of exacerbated geopolitical tensions.

Around 2:30 p.m., the Bedroom 40 lost 1.11% to 5,689.89 points after a floor at 5,651.49, unprecedented since February 2021. Contracts future on American indices yield between 0.1% and 0.6%. Apple fell 3% in the New York forecourt following information from Bloomberg that the group had given up on increasing production of the latest iPhone due to insufficient demand. In Paris, STMicroelectronics, supplier of the Apple brand, drops 4.6%. Another significant movement in New York, Biogen jumped by more than 50%% after the announcement that the experimental treatment against Alzheimer’s disease, developed with the Japanese Eisai, drastically slowed the progression of the pathology.

Suspicions of sabotage

Suspicions of sabotage of the Nord Stream gas pipelines, which transport Russian gas to Germany, contribute to reinforce the energy crisis which threatens Europe at the approach of winter. Without directly naming Moscow, European leaders believe that the damage suffered by the pipelines is ” deliberate and suggest that the critical infrastructures of the Old Continent are now a target.

Any deliberate disruption of European energy infrastructure is completely unacceptable and will lead to a strong and united response “said Josep Borell, the head of EU diplomacy, according to the German channel ntv. ” Damage to infrastructure pushes tensions between the West and Russia to a point of no return, dampening hopes for short-term improvement, both geopolitically and energetically. sums up Ipek Ozkardeskaya of Swissquote Bank. In Rotterdam, European gas futures contracts jumped 14% the day after a 17% increase.

In the bond market, the yield on the US 10-year bond remains just below the 4% threshold, crossed this morning for the first time since 2010 as Fed officials show support for a continuation of the cycle vigorous tightening of monetary policy. Considered “dovish”, Neel Kashkari, president of the Minneapolis branch, believes that the central bank’s reaction is aggressive in a way ” appropriate adding that the Fed will not repeat past mistakes.

Trigano sees an inflection in the shortage of chassis

Values ​​linked to raw materials fell, weighed down by the strength of the dollar and fears of recession. ArcelorMittal loses 5.1% and TotalEnergies 1.4%.

The banks are also in turmoil, BNP Paribas, Agricultural credit and Societe Generale yielding between 4% and 5%.

trigano jumped more than 12%. The manufacturer of motorhomes has announced an increase in its turnover in the fourth quarter of its staggered fiscal year, thanks to its acquisition policy. The group highlights in particular a shift in chassis shortages, expecting an improvement from the end of the year. ” the car manufacturers, manufacturers of these chassis, all suggest a clear improvement in the situation from the end of 2022. “, he says in his press release.

Sanofi takes 1.7%. The pharmaceutical group says it expects a positive currency effect on its third quarter results, up to 10% to 11% for turnover and 12% to 13% for earnings per share.




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