After a decline of 1.2% the day before, the Paris Stock Exchange regained a few points in a market without any real trend for lack of direction from Wall Street, closed Monday for Labor Day. Investors rely on contract progression future on US indices while bearing in mind the tightening of monetary policies by central banks to curb inflation.
At 9:45 a.m., the Bedroom 40 gained 0.31% to 6,111.84 points in a business volume of 195 million euros.
Recession fears from soaring gas prices remain strong after the shutdown sine die of the Nord Stream 1 gas pipeline, which took the euro below the 0.99 dollar threshold on Monday for the first time in 20 years. In Germany, particularly exposed to soaring energy prices, industrial orders fell by 1.1% in July, thus posting their sixth consecutive drop. The market will watch, this afternoon, the ISM index of activity in services in the United States last month.
Oil demand doubts despite OPEC+
On the oil front, the barrel of Brent from the North Sea took 0.4% to 95.50 dollars, the increase caused by the decision of OPEC+ to cut its production by 100,000 barrels per day being offset by the risk a drop in demand against the backdrop of confinements in China, where several large cities remain in the grip of drastic health restrictions.
Chinese monetary officials have also signaled their intention to revive a faltering economy, indicating that the time has come to strengthen support measures in the face of increasing signs of a slowdown. Beijing lowered the foreign exchange reserve requirement ratio imposed on banks in order to support the yuan, thus reflecting the authorities’ desire to stem the fall of the Chinese currency.
Casino wants to maximize its Brazilian assets
For its part, the Bank of Australia raised its main rate by 50 basis points to 2.35%, making its fourth consecutive tightening, adding that others should follow. The European Central Bank will make its decision on Thursday, ahead of the US Federal Reserve on September 21.
Casino gains 1.4%. The French group has announced that its Brazilian subsidiary Grupo Pao de Açucar (GPA) plans to sell to its shareholders around 83% of Grupo Exito, its Colombian division, and to keep a stake of around 13% which could be sold later.
Attacked yesterday, equipment manufacturers and car manufacturers are regaining some ground. Faurecia takes 3.8%, Valeo 2.5% Renault 2.6% and Stellantis 1.3%.