The control room of Euronext, the company that manages the Paris Stock Exchange (AFP/Archives/ERIC PIERMONT)
The Paris Stock Exchange ended up 0.89% on Friday, supported by corporate results and the apparent sense of relief among investors after the latest inflation figures in the United States, which pushed rates down bondholders.
The flagship CAC 40 index advanced 71.59 points to 8,088.24 points. On Thursday, it fell 0.93%.
Over the week, it increased by 0.82%. Its session peak, 8,253.59 points, dates back to March 28.
The session started in the green thanks to the results of several big names on the Parisian stock market which passed their quarterly passing exam, as well as Microsoft and Alphabet in the United States.
The progression of the CAC 40 then accelerated with the opening of Wall Street and the publication of the PCE index, the inflation indicator favored by the American Federal Reserve (Fed).
Inflation reached 0.3% month-on-month in March, in line with expectations, unchanged from the previous month. Excluding food and energy, the index also stood at 0.3%, again in line with economists’ predictions.
The market focused on the progression over one month and paid little attention to inflation over one year, which reached 2.7%, more than the 2.6% announced by economists.
“This report adds to the series of figures indicating that inflation is not falling as much as expected since the start of the year and confirms that an easing of federal monetary policy is unlikely in the immediate future,” comments Christophe Boucher, investment director at ABN AMRO Investment Solutions.
But after an indicator showing an acceleration in prices at the start of the year on Thursday, these figures not so far from forecasts were seen as a relief by investors.
In response, bond yields fell sharply. France’s interest rates fell back to 3.06%, after finishing at 3.13% on Thursday, which was the highest since late November.
Well-built Saint-Gobain
The construction materials group Saint-Gobain achieved the best performance on the CAC 40: +6.87% to 75.24 euros. It achieved a turnover of 11.35 billion euros in the 1st quarter of 2024, a drop of 8.5% year-on-year linked to the decline in new construction in Europe and a scope effect on the structure of the band.
Nevertheless, the group says it is approaching “a low point” in Europe, the group’s general director Benoit Bazin told AFP, a situation which traditionally attracts investors, according to Stifel analysts.
TotalEnergies wants to let go of Paris
TotalEnergies CEO Patrick Pouyanné is considering a primary listing on the New York Stock Exchange, “a legitimate question,” he told Bloomberg, referring to the rise of his North American institutional shareholder base, which has become almost a majority.
Currently, TotalEnergies weighs 8.9% of the calculation of the CAC 40 index, for a market capitalization of more than 165 billion euros.
The oil and gas group also recorded a net profit of $5.7 billion in the first quarter of 2024, further improving its results by 3% year-on-year, thanks to “sustained” oil prices and refining margins. “.
Its action gained 2.09% to 69.48 euros.
Nexity, which is climbing in size
Nexity will cut 502 positions to deal with the deep construction crisis, the leading French real estate developer announced on Thursday.
“We continued our actions in terms of reducing our operating cost base,” underlined the group’s deputy general manager, Jean-Claude Bassien. The price rebounded by 7.18% to 10.22 euros but the stock remains down almost 40% since the start of the year.
Amundi, record outstandings
The French asset manager Amundi, leader in the sector in Europe, reported a record level of assets in the first quarter of 2024, notably driven by good market dynamics. The collection carried out by the Crédit Agricole subsidiary also positively surprised analysts. The share rose 3.30% to 65.75 euros.
© 2024 AFP
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