The Paris Stock Exchange retained its bullish trend (+ 0.64%) on Wednesday at noon, on the threshold of the session, rich in indicators, which will also be marked by the resumption of Chinese-American trade negotiations and a decision. from the Fed.
At 13:41 (12:41 GMT), the CAC 40 index rose by 31.30 points to 4959.48 points with a trading volume of 1.2 billion euros. The day before he finished by 0.81%.
The coast of Paris opened slightly higher, and in the morning accelerated the pace.
Wall Street was also preparing to open in the green zone.
The futures contract for the Dow Jones Industrial Average Index rose by 0.51%, the S & P index rose by 0.40%, and the Nasdaq index, which is dominated by technology, by 0.93%.
Trading is “the central problem of the beginning of the year, creating volatility with successive phases of aversion and taste for risky assets,” Franklin Pichard, chief operating officer of Kiplink Finance, summarized in the note.
“Markets should remain nervous, as they confirm a positive bias for risky assets, despite Brexit voting last night, the Federal Reserve’s monetary policy decision today and the resumption of trade negotiations between states And China today and tomorrow,” he added.
The United States and China resume on Wednesday their delicate trade negotiations in an environment of extreme tension caused by a series of accusations against Chinese telecommunications giant Huawei and one of its leaders.
At the front of Brexit, British Prime Minister Theresa May is preparing for a new confrontation with EU leaders, seeking to resume negotiations on the EU divorce with the support of its parliament. which quickly meant that they were not going to move.
Investors will also be warned about what could happen at a meeting of the Federal Reserve System (FRS) on monetary policy, even if its decision is made after the closure of European stock markets.
“There is no particular doubt about the results of the meeting of the Fed's Monetary Policy Committee (FOMC), which will lead to a position in the field of monetary policy,” said Christopher Dembik, head of economic research. in Saxo Bank.
As for the indicators, investors had a lot of data to digest this environment.
The German Ministry of Economics significantly reduced its growth forecast for this year on Wednesday, and at present GDP growth is only 1% against 1.8% last fall.
Nevertheless, in February, consumer sentiment in Germany will improve, as the favorable prospects for the labor market compensate for weaker growth prospects, according to a monthly study by the GfK Institute.
Inflation figures for January will complete the agenda across the Rhine.
For its part, in France, growth was 1.5% in 2018 compared with 2.3% in 2017, despite the fact that in the fourth quarter this figure somewhat exceeded expectations, where gross domestic product increased by 0.3% .
However, in France, household consumption of household goods fell by 1.5% in December, after it had already dropped slightly (-0.1%) in November due to traffic interruptions. "yellow vests".
The eurozone should also publish consumer confidence data for January.
Finally, growth in the fourth quarter is expected in the US, as well as job creation in the private sector (ADP survey).
– Luxury worn by LVMH –
As for the securities, Atos was promoted (+ 8.02% to 81.66 euros), announcing the sale to its shareholders of 23.4% of its subsidiary electronic payment Worldline (from -2.27% to 46%). (42 euros), of which he will retain 27.4% of the capital.
LVMH added 6.26% to 276.00 euros, showing a new year record in 2018, reaching a maximum of sales to 46.8 billion euros, a 10% increase and net profit of 18% to increase to 6.4 billion euros.
After that, competitors Kering (+ 3.70% to 433.90 euros) and Hermes (+ 2.70% to 516.60 euros) were also well targeted.
Alten grew by 9.16% to 84.60 euros with a turnover that grew by 14.4% to 2.27 billion euros in 2018, including organic growth of 12%,
Euronext fell by 2.02% to 53.40 euros after US competitor Nasdaq, its competitor, announced that it would announce a friendly takeover transaction (OPA) of almost $ 770 million (673). million euros) on the Oslo Stock Exchange, almost 50 million more than the price offered by the pan-European operator.
Renault lost 0.46% to 61.03 euros. Former CEO of the group, Carlos Ghosn, imprisoned in Tokyo for alleged financial negligence, first appeared in the press on Wednesday, accusing Nissan leaders of "conspiracy and treason."
Alstom decreased by 1.43% to 35.25 euros. Siemens boss on Wednesday launched a violent and political attack on the European Commission, which threatens to veto the proposed rail merger with Alstom, calling European decision-makers "retrograde technocrats."
© 2019 AFP