AFP, published on Friday, April 08, 2022 at 10:00 a.m.
The Paris Stock Exchange was up sharply by 1.49% in early trading on Friday, rebounding after three sessions of decline in a lean economic agenda, and as the first round of the presidential election approaches.
The CAC 40 index advanced 96.30 points to 6,557.98 points around 9:35 a.m. The day before, it had fallen by 0.57%. Over the week the decline is still 1.92%.
The Parisian dimension remains marked by the evolutions of the policies of the central banks, which have shown themselves resolved again all this week to fight inflation, even if it means slowing down economic activity.
As a result, “investors are extremely cautious and are taking advantage of the strong rebound observed in recent weeks”, after the losses at the start of the war in Ukraine, “to reconsider their exposures”, according to analysts at Saxo Bank.
The American Federal Reserve (Fed) considered at its last monetary policy meeting in March several sharp increases in its key rates in the second part of the year and the reduction of its balance sheet, i.e. the sale government bonds and mortgage-backed securities, from May.
In Europe, “a large number” of European Central Bank officials “believed that the current high level of inflation and its lasting nature called for immediate measures”, according to the report reporting exchanges between central bankers in the zone. euro held in early March, and released on Thursday.
In addition, the CAC 40 has performed less well than the broader European Stoxx 600 index during the last seven sessions “due to the growing concern about the presidential election”, note analysts from Deutsche Bank. However, over the week, the performance of the CAC 40 is not so far from that of the Dax and is even similar to the Milan Stock Exchange.
Similarly, if the gap between the French interest rate and that on the German loan, another signal scrutinized to estimate the nervousness of investors, widened a little on Tuesday, the dynamics of the two curves are similar.
On Friday, the interest rate for the French 10-year loan fell by two basis points, to 1.20%.
Crédit Agricole goes to Italy, Vivendi gives up on Spain
The French bank Crédit Agricole (-0.72% to 9.82%) announced on Thursday that it had acquired a 9.18% stake in the capital of the Italian bank Banco BPM, the third largest in the country, i.e. an operation of nearly of 380 million euros. The bank was the only value in the red, with Societe Generale (-0.47% to 21.38 euros), while BNP Paribas rose 2.00% to 47.49 euros.
Collective catering rebounds
The catering groups Sodexo (+5.85% to 69.84 euros) and Elior (+5.29% to 2.71 euros) jumped on the expanded SBF 120 index, after a recommendation, reported by the Bloomberg agency , RBC analysts, who consider that the fall of Sodexo in recent times is “disconnected” from the stock market prices of its competitors.
Sodexo has lost 9.37% since the beginning of the year while its British competitor Compass has increased by 0.70% compared to this date.