The Paris Stock Exchange is up slightly, the less marked deterioration than expected of the business climate in Germany coming to support publications of companies generally well perceived. The index established by the Ifo institute contracted by 0.1 point to 84.3, against 83.5 expected by analysts and 84.4 in September.
Around 10:30 a.m., the Bedroom 40 gained 0.33% to 6,151.77 points in a business volume of around 800 million euros.
In New York, the S&P 500 rose 1.2% and the Nasdaq Composite 0.9% last night. Private sector activity in the United States contracted for the fourth consecutive month in October, according to the S&P Global PMI indices, suggesting that the Federal Reserve’s monetary tightening policy is beginning to bear fruit. These clues are Good news for investors anticipating a pause from the Fed early next year explains Edward Moya, senior market analyst at Oanda.
Fed, towards a slowdown in December?
The market continues to expect a 75 basis point hike in the Fed funds rate on November 2, but expectations for a move of the same magnitude in December tend to diminish. The European Central Bank is also expected to raise rates by 75 basis points on Thursday, despite PMI indices pointing to a recession in the euro zone. On the bond market, the yield on the US 10-year bond eased by 4 basis points to 4.1848%. Those of German and French bonds experienced similar variations.
The appointment of Rishi Sunak as British Prime Minister, which should be officially confirmed this morning, also contributed to this appeasement on rates, even if the pound sterling did not really benefit from it.
About 20% of S&P 500 companies released their quarterly results and more than half of them beat expectations. Microsoft and Alphabet open the ball for quarterly Gafam publications tonight, before Meta tomorrow, then Amazon and Apple on Thursday. Meta has just announced that a worldwide outage of its WhatsApp messaging system is preventing access to its services in many countries.
Air Liquide and Interparfums in the spotlight
Liquid air increased by 4.2%. The industrial gases specialist confirmed its outlook for 2022, after seeing its sales increase by 41.3% in the third quarter, thanks in particular to the rise in energy prices.
Interparfums advance of 8%. The luxury perfume maker has raised its financial targets for 2022, after a surge in sales in the third quarter.
Remy Cointreau down 6.7%. The spirits group says it looks to 2022/23 with confidence after a 16.2% increase in sales in the second quarter, driven by a recovery in demand for its high-end cognac in China.
Worldline down 1.7%. The electronic payment services giant has confirmed its annual objectives after seeing its turnover increase by 10% in organic data in the third quarter.
Orange down 2.5%. The telecom operator confirmed all of its financial targets for 2022, after the telecommunications operator performed broadly in line with analysts’ expectations in the third quarter.
Plastic Omnium loses 1.1%. The automotive supplier confirmed its financial targets for 2022, as its activity rebounded strongly in the third quarter, beating analysts’ estimates.
Seb gains 2.2%. The manufacturer of small household appliances has lowered its forecasts for sales and operating margin for the current financial year after suffering in the third quarter from a sharp decline in sales in its main markets in Europe.