(News Bulletin 247) – The flagship tricolor equity index, the CAC 40, changed little on Monday (-0.16% to 7,335 points), in the absence of benchmarks from Wall Street, which remained closed due to a holiday (Commemoration of the birth of George Washington) and at the dawn of the final salvo of quarterly corporate copies. And this against a background of acceptance of the persistence of high inflation on both sides of the Atlantic, and of digesting the messages sent by the Fed and the ECB. Recent data relating to prices, or inflation barometers (consumer prices, production prices, employment) have illustrated tensions on the economic machine, in particular on the other side of the Atlantic.
“The shock wave of the latest US employment report has led many investors to reposition themselves on the possibility of a more lasting restrictive monetary policy. The numerous economic statistics published last week tend to confirm this scenario. Faced with the inflation rate, it is clear that the road to normalization is still long.” notes Romane Ballin, Bond Manager at Auris Gestion, for whom “central bankers are in doubt in the face of statistics that continue to surprise with their resilience.”
No major statistical figure came to feed the debates yesterday but the agenda will become very dense from this Tuesday, with in particular leading indicators of activity. On the value side, Forvia, which brings together Faurecia (+ 2.25%) and its German subsidiary Hella, published its annual accounts on Monday with both a much higher than expected cash generation and the announcement of a project sale which will allow it to complete its asset sales program. The property Icade (+0.4%) has, in addition to its annual accounts, announced that it would probably not go through an IPO to value the assets of its subsidiary Health, contrary to its initial plans. Excluding publications, the very volatile Orpea gained 10.8%, followed by Eutelsat Communications (+7.3%) which had been shunned after its half-year results on Friday. On the other side of the spectrum, Casino Guichard lost 4.6%, followed by Air France-KLM (-3.7%) whose annual results were welcomed at the end of last week.
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 $1.0670. The barrel of WTI, one of the barometers of risk appetite in the financial markets, was trading around $76.50.
To follow as a priority on the macroeconomic agenda this Tuesday, a battery of PMI indicators (surveys of purchasing managers), in advanced data for the current month. Eurozone summary data will be released at 10:30 a.m., half an hour before the much-watched German ZEW.
KEY GRAPHIC ELEMENTS
In rising volumes if not particularly fed, the CAC 40 ended up significantly on Wednesday 02/15, offering itself the luxury of closing at a level very close to the high points of the session. The candle drawn, formally in near-perfect marubozu, lined with an engulfing combination, reinforced the underlying bullish message. The next day in session, new historic records were broken. A serene consolidation can take place, even against the 20-day moving average (in dark blue), whose orientation remains bullish.
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.
The News Bulletin 247 board
Hourly data chart
Chart in daily data
function creatOutbrainJs() {
const creatJs = document.createElement(“script”);
creatJs.defer = true;
creatJs.src = “https://widgets.outbrain.com/outbrain.js”;
return document.body.appendChild(creatJs);
}
window.didomiOnReady = window.didomiOnReady || [];
window.didomiOnReady.push(function(Didomi) {
console.log(“Didomi ready “);
Didomi.getObservableOnUserConsentStatusForVendor(164)
.filter(function (status) { return status !== undefined })
.subscribe(function(consentStatus) {
if (consentStatus === false || consentStatus === true) {
console.log(“Didomi consent -> exécution du script outbrain “, consentStatus);
creatOutbrainJs()
}
});
});
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.
