Don’t we say “never two without three”? After having crossed the 7,200 points mark at Monday’s close, then that of 7,300 points on Tuesday, the Cac 40 tried to steal the 7,400 points … Without success, however, at the end of the day on Wednesday. It may only be postponed. The Paris index stopped at 7,376.37 points, thanks to a gain of 0.81%.
Before the Fed’s “minutes”
The trend was partly supported by bank stocks (BNP Paribas, Agricultural credit and Societe Generale), themselves driven by the rise in bond yields. That of 10-year Treasuries edged up slightly to 1.674%, after approaching 1.7% on Tuesday, its highest level since the end of November. While higher rates generally reflect a good economic environment, they increase the cost of borrowing, thereby penalizing growth stocks. Rate, it will still be discussed this evening. The US Federal Reserve (Fed) will publish the minutes (or minutes) of its last monetary policy meeting in December, at the end of which it has decided to accelerate its asset buyback program and the timetable the rise in interest rates Fed funds.
“The minutes could provide more substance on the content of the internal debate at the Fed, in particular as regards the distance to full employment », Estimates the firm Oddo BHF. On reading the latest survey by the human resources firm APD, published on Wednesday, employment remains dynamic in the United States. 807,000 hires were recorded in the private sector in December, twice as many as expected by the consensus. However, this result must be taken with a grain of salt, as the investigation stops in mid-December, before the surge of the epidemic and Omicron.
“Many cancellations and closures”
” The recent surge in Omicron infections nationwide has prompted many cancellations and closings, as already understaffed companies are penalized by sick workers. Most absentees will still be paid and therefore counted as employees for the month. But a significant minority without access to sick leave will not, potentially reducing official January figures by several hundred thousand people. However, because the ADP survey counts all persons in the personnel register as employees, whether paid or unpaid, a significant discrepancy could emerge between the two employment measures. Predicts Michael Pearce, senior US economist at Capital Economics.
Closer to home, the IHS Markit composite PMI index for the euro zone, a synthesis between industry and services, finally fell 2.1 points to 53.3 in December, its lowest level of growth since March. The services sector was particularly affected by the Omicron wave, with an index down 2.8 points to 53.1, while the increase remained modest in industry.
Where we talk about an offer from Auchan on Carrefour
Biggest increase in the Cac 40, Renault climbed 5.31%. The semiconductor giant Qualcomm has signed several agreements for the supply of chips to the French manufacturer, as well as to Volvo and Honda. Still in the automobile, Michelin (+ 2%) benefited from two price target increases. JPMorgan is now targeting 175 euros, against 150 euros previously, while Citi is targeting 170 euros and no longer 165 euros. For his part, Valeo gained 2.13%. The equipment manufacturer presented a Covid-19 detection kiosk at the CES show held in Las Vegas. This terminal is the result of research on electronic systems for controlling the thermal and physiological comfort of passengers and that of the driver’s state of vigilance by observing their gaze.
In the distribution sector, crossroads took 5.09%. Auchan is once again exploring the possibility of an offer on its competitor after the failure of discussions last fall, according to the Bloomberg news agency, which cites sources familiar with the matter.
CP