The Paris Stock Exchange erased its decline on Monday, thus extending the rebound of last week, achieved on Friday alone. The easing of quarantine measures for travelers entering China is easing fears about global growth for the time being. Enough to relaunch purchases on the cheap, but caution is still in order as the Cac 40 is barely emerging from a “bear market” situation with a drop of 17% compared to its peak of January 5.
Shortly after 4 p.m., the Bedroom 40 increased by 1.08% to 6,112.79 points in a limited business volume of 1.35 billion euros. In New York, the Dow Jones takes back 0.50% and the Nasdaq Composite yields 0.19%. Component of the 30 industrial index, Nike down 3.8%. The sports equipment manufacturer presented disappointing forecasts for its gross margin and was cautious in its forecasts for the Chinese market.
Luxury and aeronautics boosted by China
The easing of quarantine measures in China with a halving of their duration, reduced to 7 days, is favorable to many sectors such as luxury. The latter also benefits from information from Bloomberg reporting the absence of new Covid-19 contaminations in Beijing and Shanghai in the past 24 hours, a first since February. LVMH takes 2.6%, Kering 2% and Hermes 1.6%. Values linked to tourism and aeronautics also benefit from it, such asAir France-KLM (+2.7%), Airbus (+3%) and Saffron (+4.5%).
On the commodities front, a barrel of Brent rose 1.6% to 116.55 dollars as G7 member countries said they were ready to consider measures aimed at capping Russian oil prices. TotalEnergies thus gained 2.2% and Vallourec 4.7%.
As the European Central Bank prepares for its first monetary tightening in more than 10 years, Christine Lagarde reaffirmed her intention to raise key rates by 25 basis points in July, and confirmed that a larger increase could intervene in September if necessary. Speaking in the context of the opening speech of the ECB’s annual forum in Sintra, Portugal, she also indicated that the new bond purchase program being drawn up will ensure that spreads do not widen excessively returns within the euro area. Christine Lagarde and Jerome Powell will speak tomorrow, from Sintra.
The automotive sector once again surrounded
Aramis Group increased by 4.5%. The specialist in the online sale of used vehicles has announced the acquisition of Onlinecars, the leader in the sale of reconditioned vehicles in Austria. This consolidation is part of the strategy of international expansion and acceleration in the reconditioned car segment promised by Armais when it was listed on the stock market.
Renault garners 3.4%. The diamond brand has joined forces with the Atos IT group to market a solution for collecting and analyzing industrial data, already used by the car manufacturer, which expects a saving of 200 million euros per year.
Valeo rises 5.6%. The equipment manufacturer has indicated that it will supply BMW with components for the German manufacturer’s advanced driver assistance systems. Its competitor Faurecia advance of 4.9%.