(News Bulletin 247) – The CAC 40 lost ground in mid-session as bond yields rose to significant levels, almost unprecedented since the mini-banking crisis in March.

After two sluggish sessions, the CAC 40 falters on Wednesday. The flagship index of the Paris Stock Exchange fell 0.6% to 7322.57 points on Wednesday, on track for a third session in the red.

“This beginning of the week was marked on the markets by very limited liquidity, due to the American national holiday yesterday and the approach of the decisive figures for American employment and the ISM services (Thursday and Friday, Ed. In this context, interest rates remained under upward pressure in anticipation of continued monetary tightening this summer. 2-year rates reached their highest levels since mid-March on both sides of the Atlantic.” , explains Xavier Chapard, economist at La Banque Postale Asset Management.

Although down slightly, the two-year US Treasury bond rate is close to 4.9%, a level not seen since March 9, when the mini-banking crisis shook all financial markets.

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Moreover, the latest indicators are hardly engaging. The activity of services in the euro zone deteriorated to 49.9 in June against 52.8 in May, according to the second estimate of the PMI indices published on Wednesday. The first estimate had reported a figure of 50.3. Remember that a level below 50 marks a contraction in activity. In China, the services PMI fell to 53.9 in June from 57.1 in May.

As for values, the Casino share continues its stock market plunge, losing more than 30% while the group has delivered the content of the two capital contribution offers, that led by Daniel Kretinsky on the one hand and that of the trio Niel -Pigasse-Zouari, on the other hand. In both cases, the indications given by the company suggest a dilution of more than 99% for the shareholders.

Boiron jumped 23.7% to approach the value of 50 euros induced by the future simplified takeover bid by the Boiron family, which intends to withdraw the group from the listing. This offer includes a fairly homeopathic bonus for the shareholders, of 36% according to the calculations of the company which is based on the detachment of an exceptional dividend. But by restating this aspect and comparing the closing price on Monday (39.5 euros) with the value of 50 euros, this premium drops to 27%.

The euro took 0.1% against the dollar at 1.0891 dollar. Oil prices are anemic. The September contract on North Sea Brent fell 0.2% to 76.06 dollars a barrel, while the August contract on New York-listed WTI also changed little compared to the July 4 price, at 71 $.25 a barrel.