(News Bulletin 247) – The June PMI indices for the monetary union turned out to be disappointing. And the CAC 40 is heading for a fifth consecutive session of decline.

A week of red is looming for the CAC 40. The Parisian index drops another 0.2% at mid-session this Friday to 7187.85 points. And over the week as a whole, the CAC 40 is currently losing 2.7%, undermined by the lack of announcements on stimulus measures in China and by the restrictive remarks of the President of the American Federal Reserve ( Fed), Jerome Powell, who confirmed that further rate hikes were in sight.

This Friday investors do not find any relay of hope at the level of the economy. The June PMI indices, which measure private sector activity, came in below expectations for the euro zone. The composite index stood at 50.3 in June against 52.8 for the previous month, a figure below expectations, underlines Capital Economics. The figure of 50 marks the border between a contraction and an expansion of activity.

“In manufacturing, the new orders and new export orders indices were both below 50, suggesting that weak demand is more than offsetting the positive effects of easing market disruptions. supply and falling energy prices,” said Capital Economics.

>> Access our exclusive graphic analyses, and enter into the confidence of the Trading Portfolio

Stock market torture for SES-imagotag

Beyond the PMIs, “the latest data has heightened fears of a potential recession, which has further reduced risk appetite”, explains Deutsche Bank, citing the rise in weekly jobless claims in the United States, as well as the fall in the Kansas City Fed manufacturing index. “Investors therefore found themselves with a multitude of bad news to digest, without any sign of a positive catalyst in the short term”, continues the German bank.

As for values, SES-imagotag plunged (-49%) after accusations of accounting irregularities from Gotham City Research, a fund that is betting on the stock’s decline. The company responded on Thursday evening, saying the fund’s report contained “gross inaccuracies”, reserving the right to take legal action.

The fall in the CAC 40 is fueled by the banks, with BNP Paribas and Crédit Agricole SA dropping 1.3% each.

Note the gadin in Frankfurt of Siemens Energy (-33%) which had to abandon its profitability target for 2023 due to quality problems on wind turbine components at its Spanish subsidiary Siemens Gamesa.

On the other markets, the euro unscrewed by 0.9% against the dollar, at 1.0856 dollars. Oil prices are falling. The August contract on Brent from the North Sea fell 1.6% to 73.17 dollars a barrel, while that of the same expiry on WTI listed in New York yielded 1.8% to 69.29 dollars a barrel .