(News Bulletin 247) – This article, in free access, is produced by the stock market analysis and strategy research team of News Bulletin 247. To not miss any opportunity, consult all the analyzes and discover our portfolios by accessing our Privileges area.
Under an avalanche of corporate results, the CAC 40 fell back on Wednesday, in volumes up sharply. The flagship index, which lost 0.86% to 7,466 points, however, ended a good distance from its session lows.
Teleperformance published growth well below expectations in the first quarter and announced the acquisition of Majorel, a Luxembourg company, for 3 billion euros. This latest operation contrasts with the company’s traditional acquisition policy, which does not usually set its sights on such imposing targets.
Dassault Systèmes, for its part, did not publish catastrophic results in the first quarter. But both its license sales and the growth of its cloud-related activities are disappointing the market.
Another notable drop was that of Kering (-2.3%), which recorded like-for-like sales growth of just 1% in the first quarter, a figure light years away from the superb growth of LVMH and Hermès.
On the statistical side, if the operators were disappointed by the consumer confidence index (Conference Board) on Tuesday, in contraction, below expectations, the statistics of the day on Wednesday had something to seduce, with the approach of the next Policy Committee monetary policy of the Fed. These are orders for durable goods, which increased by 3.2% in March, on a monthly basis. Excluding transport equipment, the increase is much less impressive, but far exceeds the target.
On the other side of the Atlantic, the main equity indices ended Wednesday’s session in scattered order, like the Dow Jones (-0.68% to 33,301 points) or the Nasdaq Composite (+0 .47% at 11,854 points). The S&P 500, the reference barometer of risk appetite in the eyes of fund managers, depreciated slightly, by 0.38% to 4,055 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 $1,1050. The barrel of WTI, one of the barometers of risk appetite in the financial markets, was trading around $76.70.
To be followed in priority on the macroeconomic agenda this Thursday, the first estimates of the American GDP in the first quarter as well as the weekly registrations for unemployment benefits. Valuable benchmarks, as the Fed’s next Monetary Policy Committee approaches.
KEY GRAPHIC ELEMENTS
After a “crazy” week (W15), marked by the tracing of a long white weekly candle, of which a good part of the body is made up of successive historical peaks, the time has come for the consolidation of the advance, even if the underlying bullish message remains intact, as shown by the reconquest of the 50-day moving average (in orange) by its 20-day counterpart (in dark blue). Just like the pursuit gaps visible in the hourly chart. In the immediate term, a continuation of a healthy flat consolidation phase is envisaged.
An encouraging sign, the ability, while consolidating, of the index to end on the weekly highs in week 16.
In the immediate term, however, a short ebb towards the short moving averages will be an opportunity to test the motivation of the buying camp.
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 7585.00 points would revive the tension in the purchase. While a break of 7234.00 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.
