The Paris Stock Exchange closed stable (+0.08%) on Tuesday, with investors preferring to limit risk-taking before the decisions of the American Federal Reserve (Fed) on its monetary policy.
The flagship CAC 40 index advanced 5.98 points to 7,282.12 points. On Monday, the index fell by 1.39%, led by profit taking after a successful weekend, and by the fall in Socit Générale shares after the presentation of its strategic plan.
The main part of the week is the meeting of the American central bank which is due to speak on Wednesday evening, notes Jeanne Asseraf-Bitton, BTF IM manager.
The Fed will announce Wednesday at 6:00 p.m. GMT (8:00 p.m. Paris) in a press release whether it has decided to maintain its rates in their current range, 5.25 to 5.50%, as anticipated by almost all market players.
After having raised its rates eleven times since March 2022, operators are counting, almost unanimously, on a status quo from the Fed in September, but will be attentive to the comments and forecasts of the members of the institution.
What the Fed will tell us tomorrow [mercredi] likely to shake things up. The growth and inflation forecasts are eagerly awaited, they allow us to evaluate the future policy of the Fed, comments the manager.
Furthermore, in terms of communication, it is very likely that [le prsident de la Fed Jerome] Powell is not yet declaring victory on the subject of inflation and is adopting a cautious tone, estimates Christophe Boucher, investment director of ABN AMRO Investment Solutions.
TotalEnergies on the rise
The oil and gas group TotalEnergies benefited from the rise in oil prices on Tuesday and ended up 1.69% at 63.04 euros.
Oil prices continued to rise on Tuesday, driven by the reduction in global supply, with a barrel of Brent from the North Sea exceeding $95 for the first time since November.
SMCP falls sharply
The SMCP textile group, parent company of the Sandro, Maje, Claudie Pierlot and Fursac brands, plunged 29.07% to 3.75 euros, its lowest since 2020, after having lowered its financial forecasts for the rest of the year.
This fall, the most significant since its IPO in 2017, erases more than 115 million euros in market valuation.
Arverne returns
The specialist in the production of geothermal energy and the extraction of Lithium Arverne Group took its first steps on the Paris Stock Exchange on Tuesday, raising more than 150 million euros by merging with a Spac, a company without commercial activity but specially constituted to raise funds by going public with a view to acquiring a target company. The group ended up 14.98% 11.50 euros.