(News Bulletin 247) – The Ifo index contracted in June, adding to the list of disappointing economic indicators of recent days. The CAC 40 is struggling to move forward.

The Paris Stock Exchange starts the week very timidly. The CAC 40 is almost stable at mid-session (+0.04%) on Monday, after having shown five days in the red last week.

For several sessions now, the market has been gripped by the speeches of central bankers, who have in their sights new rate hikes, whether for the American Federal Reserve (Fed) or the European Central Bank (ECB), but also the risks of recession in Europe and the United States.

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Germany’s Ifo collapses in June

However, a German indicator has been added to the long list of recent dismal statistics. The Ifo index, which measures the business climate, fell in June to 88.5 from 91.5 in May, also falling below the consensus expectations of economists polled by Reuters (90.7).

“The collapse of the German Ifo, as well as the drop in the PMI indices, published on Friday, suggest that German GDP probably contracted for the third consecutive quarter during the second quarter”, underlines Capital Economics.

“The fact that today’s figures confirm that the economic engine of the eurozone is running out of steam is a source of serious concern for investors,” said Naeem Aslam of Zaye Capital.

The market therefore remains in a lackluster mood while “many risks remain this week, with economic statistics in Europe, the United States and China, interventions by central bankers or even concerning American banks”, underlines Vincent Boy, market analyst at IG France.

Featured Orpea

In terms of values, the Orpea share jumped (+33.7%) after the publication of two reports by an expert firm which values ​​the company between 6 billion and 7 billion euros.

SES-imagotag is benefiting from buybacks at a good price (+26.4%) after having fallen heavily (-58%) on Friday following the attack by short seller Gotham City Research which accuses the company of accounting irregularities, which which the company denied.

The defense is surrounded, Dassault Aviation yielding 3.5% and Thales 3%, while the mutiny in Russia of the paramilitary group Wagner, finally abandoned on Saturday evening, highlighted weaknesses on the side of the Russian camp. And causes market speculation about a potential end to the conflict in Ukraine.

On the other markets, the euro was almost stable against the dollar at 1.0899 dollars. Oil is moving up a bit. The August contract on Brent from the North Sea advances by 0.46% to 74.35 dollars a barrel while that of the same term on WTI listed in New York advances by 0.4% to 69.39 dollars.