(News Bulletin 247) – In an atmosphere somewhat tarnished by the downward revision of the growth of Microsoft’s cloud computing services division (Azure), the CAC stood still at the close on Wednesday (-0.09% to 7 043 points), after foraying below the symbolic 7,000 points.
In terms of statistics, the IFO business climate index in Germany came out perfectly on target, at 90.2, a slight increase. “In manufacturing, the index continued its upward trajectory. Companies rated their current situation as better. Their expectations for the next six months were also significantly brighter. Order volumes are falling but remain at a high level. Production is expected to increase in the coming months,” the institute said.
As for values, Klépierre dropped 1.88% to 22.95 euros, suffering from a lowering of the recommendation to “sell” from Societe Generale. Alstom did not resist the trend, yielding 1% after publishing an acceleration in its growth in the third quarter of its 2022-2023 financial year, ending next March. On the micro-cap side, Mastrad gained 58% after announcing a restructuring and a capital increase.
On the other side of the Atlantic, the main equity indices ended at levels close to balance, with the Dow Jones gaining 0.03% to 33,743 points and the Nasdaq Composite (-0.18% to 11 313 points) being weighed down by the downward revision to the growth of Microsoft’s Azure division. The S&P500, benchmark barometer of risk appetite in the eyes of fund managers, ended unchanged (-0.02% to 4,016 points).
A point on the other risky asset classes: around 08:00 this morning on the foreign exchange market, the single currency was trading at a level close to $1.0910. The barrel of WTI, one of the barometers of risk appetite in the financial markets, was trading around $80.40.
To follow as a priority on the macroeconomic agenda this Thursday, across the Atlantic, the first estimates of GDP in Q4, durable goods orders, weekly registrations for unemployment benefits, the trade balance of goods and inventories of wholesalers, at 2:30 p.m.
KEY GRAPHIC ELEMENTS
The flagship tricolor index began on Thursday 01/19, on a candle with an elongated red body, without shadow, a legitimate phase of correction, limited in absolute value, with regard to the initial advance since the beginning of the year. The amplitude of this profit-taking phase will serve as a framework for a future consolidation pattern. Note the increase in the gap, at this stage, between the 20-day moving average (in dark blue) and its 50-day counterpart (in orange), with a marked upward bias. A basic bullish message, therefore, which may be temporarily clouded by increased temptations to take profits.
FORECAST
In view of the key graphic factors that we have identified, our opinion is neutral on the CAC 40 index in the short term.
We will take care to note that a crossing of 7422.00 points would revive the tension in the purchase. While a break of 7000.00 points would relaunch the selling pressure.
Hourly data chart
Chart in daily data
©2023 News Bulletin 247
I have over 8 years of experience working in the news industry. I have worked as a reporter, editor, and now managing editor at 247 News Agency. I am responsible for the day-to-day operations of the news website and overseeing all of the content that is published. I also write a column for the website, covering mostly market news.
