Published on Nov 22, 2023 at 12:43 p.m.Updated Nov. 22, 2023 at 2:30 p.m.
The Paris Stock Exchange recovered this Wednesday, not by much but enough to reach its highest level in two months. Wall Street should stall according to futures contracts but perhaps the succession of statistics forecast before and after the opening of New York will be able to liven up trading.
In reality, we sense that American operators are already thinking about the turkey topped with cranberry sauce and pumpkin pie that they will enjoy tomorrow for the Thanksgiving holiday. In the meantime, the markets are slowing down. Especially since there isn’t much going on elsewhere. Publications of several American indicators are concentrated in the afternoon, such as weekly unemployment claims, durable goods orders, the final figure of the consumer confidence index from the University of Michigan and the state of locations of crude oil stocks.
At mid-session, the Cac 40 gained 0.54% to 7,268.63 points, after an unequaled peak since September 20 at 7,274.77. American futures gain around 0.15%. Indicated falling all morning, Nvidia is stabilizing in pre-market trading. As Swissquote analyst Ipek Ozkardeskaya pointed out in a note this morning, investors are unable to decide between quarterly results above expectations and the expected slowdown in sales in China with the restrictions on chip exports decided. by Washington. “ Let’s take a step back: Nvidia is growing rapidly and has the potential to grow further, but the company’s valuation is also very high, its price has increased almost fivefold since October 2022. Its capitalization exceeds by more than 1,000 billion dollars that of Intel. In summary, the company is growing, but this is already reflected in the prices “.
Microsoft advances 0.7% in pre-stock market transactions after the return of Sam Altman to general management of OpenAI, a few days after being ousted by the board of directors, which, put under pressure by employees and investors, backed down. And among these investors, we find the software giant, which has put on the table more than 11 billion dollars in the artificial intelligence start-up best known in the world for having created ChatGPT.
More central banks friendly ” next year
We cannot not talk about monetary policy, the markets’ favorite subject, even if the news on the subject is redundant. The Federal Reserve’s final minutes, which chronicle the debates surrounding the November 1 decision to stabilize the level of interest rates, indicate that committee members supported a ” restrictive position » monetary policy « for a while ”, until inflation clearly declines. A classic speech that the market no longer wants to believe since the inflation figures have since shown a slowdown a little more pronounced than expected, while the labor market is also gradually relaxing and economic activity is weakening. .
“ We should no longer attach too much value to the increase suggested in the September dot plot projections “, notes Philip Marey, strategist at Rabobank. “ If we were to see stronger economic and inflation data before the Fed meeting in December, long-term bond yields are likely to rebound and replace a rate hike. Therefore, we do not expect another turn of the screw. »
Ditto for the ECB. For the chief economist of Goldman Sachs, a first rate cut should take place in the third quarter. Much progress having been observed on the inflation front, monetary policy can afford to be more ” friendly ” next year.
Casino lowers its annual Ebitda forecast for France
In terms of values, Elior climbed 10.4% after announcing an improvement in its results for the financial year ending September 30, 2023 and raising its objective of synergies linked to the acquisition of Derichebourg Multiservices (DMS).
Casino lost 1.3% after lowering, for the second time in a month, its annual gross operating surplus (Ebitda) target for France, due to a slower than expected recovery in activity in its hypermarkets and the impact of its investments.
Interparfums is up 5.4%. The manufacturer of licensed perfumes is targeting a turnover of around 880 million to 900 million euros in 2024 and confirms that it expects to record sales of around 800 million euros this year.
In London, Kingfisher, owner of the Castorama and Brico Dépôt brands, fell 5.9% after lowering its annual profit forecast for the second time in three months, while market trends turned out to be weaker than planned in France.