The Paris Stock Exchange was quietly allowed to carry the spirit of Wall Street and the prospect of large-scale vaccination on Wednesday morning (+ 0.25%), while the flood of American statistics is awaited.
At 9:20 a.m., the CAC 40 index gained 13.65 points to 5,572.07 points. The day before, it ended abruptly (+ 1.21%) at 5,558.42 points.
Investors are trying to look far into the horizon, hoping for an economic recovery faster than economists expected in 2021, under the influence of major vaccination programs on both sides of the Atlantic in the first weeks of January, “said Christopher Dembik, head of economic research at Sako Bank.
“Until then, the market will have to resist the ups and downs of the presidential transition in the United States, the absence of a coordinated congressional recovery plan and the risk of extinction (Editor’s note: exclusion of the federal government due to lack of state funding),” the expert said.
The pandemic has wreaked havoc on the global economy, with restrictions on social interactions established for months reducing corporate balance sheets and rising unemployment.
However, central bank support is unprecedented and investors believe they can still count on their flexible monetary policy.
Central banks must be “innovative” and “bold”, but they cannot fight the global economic crisis on their own, IMF Director Kristalina Georgieva said on Tuesday, noting the “fundamental role” of government budget support policies. .
“Almost every day, central bankers make great efforts to reiterate that they are ready to act again, especially when it comes to the European Central Bank,” Dembik notes.
Consequently, he underlines, “the risk of a sharp fall in the market is surprisingly very low as European economies and the United States rush into a new phase of activity cuts.”
– US data cascade –
In that context, the second estimate of US gross domestic products for the third quarter will be eagerly awaited in the afternoon.
Investors will also look at consumer confidence in November (University of Michigan), household income and consumption, durable goods orders and new home sales for October in the United States.
At the end of the day, they will analyze the minutes from the last meeting of the Monetary Committee of the US Federal Reserve (FOMC) in early November, during which its members discussed further actions they could take in mid-December. .
On the value side, Elior fell 6.10% to 5.16 euros, sanctioned by a massive loss of 483 million euros in its financial 2019/2020, especially in business catering, both internationally and internationally. in France.
On the other hand, Plastic Omnium was encouraged (+ 9.10% to 28.78 euros) by raising targets for the second half of the gradual financial year and expecting a return “from 2021” to a level of profitability comparable to that of 2019.
Vallourec climbed 13.16% to 33.10 euros after Industry Minister Agnes Pannier-Runacher spoke to the National Assembly on Tuesday about “ways to reclassify” more than half of the 137 threatened jobs at Vallourec’s plants in the north .
The Sopra Steria rose 3.18% to 126.40 euros despite a downward revision of its annual traffic forecast, due to costs incurred in a cyber attack in October.
Accor took 1.07% to 32.04 euros. The hotel group began exclusive negotiations on Tuesday with the English start-up company Ennismore, which it intends to absorb in order to develop its range of “lifestyle” institutions in an urban and sophisticated style.
- Euronekt CAC40