CAC40: drops again to six.425 in response to OECD + pessimistic forecasts – 06.08.2022 at 17:05

(CercleFinance.com) – The Paris Stock Exchange fell more than 1.1% 45 minutes after closing (down about 6,425 points), while trading volumes are still the same, at just 1.7 billion euros.

Euro-Stoxx50 fell -0.8% to 3.775, DAX40 -1% … London held up better with -0.4%.

US indices fell slightly on Wall Street: the S&P500 and Dow Jones lost -0.5%, the Nasdaq gained + 0.2%.

After Tuesday, the OECD World Bank is lowering its growth forecast in the world in 2022 to 3% (compared with 4.5% or -33%) and in Europe from + 4.3% to + 2.6% (-40%). .. and for France it will be + 2.4% compared to 4.2%.

For the record, the World Bank reduced growth in the eurozone the day before to + 2.6% and 2.5% for the United States in 2022. The United States.

The OECD revises inflation upwards to + 8.5% (+4.3 Pts), ie double.

In the face of still very high inflation, the central bank should show tomorrow its intention to continue the process of monetary normalization, which began last December.

His board of governors is likely to decide to end its regular asset purchase program (APP) and prepare the market for rate hikes in July and September, the first in 11 years.

Investors are also waiting with some tension for US consumer price statistics, which will be released on Friday and which are also likely to strengthen the market recovery or cause it to fall again.

In the US government yield market, the start of the day was marked by a new episode of tension, as ten-year government bonds rose again above the symbolic 3% mark (+ 4.5 points to 3.017%).

In the eurozone, our OATs add +1 point to 1.876%, Bundy also +7.2 points to 1.3590%, BTP +10% to 3.491%.

Note the key rate increase of +50 points this morning the day after Australia’s identical initiative.

Investors may have noticed a slight deterioration in France’s trade balance. This shows a deficit of almost 12.4 billion euros in April, compared with a deficit of 11.8 billion euros in the previous month, according to CVS-CJO data from the customs administration.

This slight month-on-month improvement reflects a 1.6% increase in French exports to more than 46.7 billion euros, although imports remained almost stable (+ 0.4%), around 58.9 billion.

Across the Rhine, after a 3.7% decline in March (a revised figure from the original estimate of -3.9%), German industrial production rose 0.7% at a sequential rate in April, according to the Federal Statistical Office.

As for the indicators in the USA, investors discovered wholesale stocks in the United States: according to the Ministry of Commerce, they increased sequentially by 2.2% in April after an increase of 2.7% in the previous month. (revised figure from the original estimate, which was + 2.3%).

Wholesale sales increased by 0.7% in April. At the current rate of sales, US wholesalers are taking 1.25 months to sell their inventory, up 1.23 from the previous month.

Finally, in reports of the company, Schneider Electric says it has reached an agreement with Watlow Electric Manufacturing Company, a global manufacturer of complete industrial heating systems, to sell its business to Eurotherm.

Atos fell more than 3.5%, lagging behind the trend in Paris amid unfavorable comments from Oddo BHF, who reiterated its view of “underperformance” on the name of the IT services group, despite a target price increase of 21.5 at 23 euros.

The research department believes that “the risk / reward still does not appear to be favorable to the CMD” on June 14, which he said is “subject to growing market expectations” and suggests that the valuation seems “too rich”.

Getlink on the occasion of holiday departures for the British “half time” and the platinum jubilee of Queen Elizabeth II. recorded record attendance (since the summer highs in 2020) for its Eurotunnel. Getlink also points to a traffic that has more than doubled in the case of Flexiplus compared to 2019, and highlights the return of duty-free sales at its Folkestone and Coquelles stores following the UK’s exit from the EU.

Finally, ID Logistics announces its establishment in Italy by opening a logistics platform in Casei Gerola, located between Genoa and Milan, where 350 employees work daily (up to 500 at peak times).

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