The Paris Stock Exchange was moving at a level close to equilibrium (+0.03%) on Wednesday, waiting to learn more about the reprisals from China after the arrival in Taiwan of an American official.
The star CAC 40 index grabbed 1.82 points 6,411.62 points around 10:15 a.m. On Tuesday, it ended down 0.42%, hampered by the arrival in Taiwan of the president of the American House of Representatives Nancy Pelosi.
The arrival of House Speaker Nancy Pelosi Tawan was greeted by China with an announcement of missile tests, which made investors nervous, although Ms Pelosi said her arrival did not change policy. long-time American in the region, summarizes Stephen Innes, analyst at SPI asset management.
Beijing, which considers the island of Taiwan as one of its provinces, denounced a serious violation of American commitments vis–vis China, threatened very serious consequences and promised targeted military action.
In economic retaliation, Beijing announced Wednesday the suspension of the export to Taiwan of natural sand – a key component in the manufacture of semiconductors, one of the main exports of the island.
The markets are also cooled by the comments of three officials of the American Central Bank (Fed), affirming that the institution was still far from slowing down its turn of monetary screw given the still very high level of inflation.
These three officials want to see clear evidence of a decline in core inflation and headline inflation before slowing the pace of rate hikes, adds CMC Markets analyst Michael Hewson.
These statements helped to push down Wall Street on Tuesday and caused a jump in bond interest rates.
On Wednesday, investors will be looking at July services activity figures in Europe and the United States.
Axa share buybacks delight investors
The insurer Axa exceeded expectations with a net profit of 4.1 billion euros, up slightly in the first half despite a difficult environment. Backed by these results, the group announced a one billion euro share buyback program. The title jumped 4.19% to 23.11 euros.
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Societe Generale welcomes
The action of Socit Generale took 3.86% to 22.48 euros, after the group reported an increase in its net banking income (NBI), equivalent to turnover, of 12.8% in the second quarter. The bank also announced a net loss of nearly 1.5 billion euros, affected by an exceptional charge for the sale in May of its Russian subsidiary Rosbank.
Suez expensive side Veolia
Veolia posted a net profit down 22% to 236 million euros in the first half, mainly due to the costs of acquiring its former rival Suez and a depreciation of activities in Russia. Its action lost 3.20% to 23.89 euros.
Bic revises its forecasts upwards
The French giant of pens, lighters and disposable razors Bic (+4.70% 57.90 euros) has announced that it is revising its sales forecasts upwards thanks to an increase in sales, prices and the positive impact of the fluctuation in the value of the dollar.