Cac 40 Continues to Rebound, Alibaba Expects Wall Street Growth, Market News

The Paris Stock Exchange’s flagship index is approaching an eight-week high on strong corporate results in Europe and the US. The reception is all the more favorable given that the macroeconomic and geopolitical situation has given rise to concerns about the deterioration of corporate performance.

Weekly jobless claims rose 6,000 to 260,000 across the Atlantic, as expected, while the previous week’s balance sheet was revised down from 256,000 to 254,000. The announcement has some significance ahead of the release of the July jobs report .

Shortly before 15:00 at Bedroom 40 increased by 0.80% to 6,524.04 points after a peak of 6,555.71 (+ 1.29%) on a business volume of 1 billion euros. The star index in Paris, which recovered well, cut its losses to less than 9% for the year from 19.1% in early July. Contracts future September US indices add from 0.1% to 0.3%. Ali Baba is reaping 6% ahead of the stock market. Chinese Amazon reported better-than-expected quarterly earnings and said July saw a recovery in consumption despite stagnant sales for the first time since its listing on the NYSE amid health restrictions in China.

The Bank of England raises its voice

However, the more aggressive stance of central banks is confirmed by a 50 basis point increase in the Bank of England repo rate, which now stands at 1.75%, in line with expectations. This is the largest rate increase since 1995 and the sixth since December 2021. The Old Lady of Threadneedle Street also raised her inflation forecast to 13% by the end of the year, up from around 10% in May.

Equity markets have weathered well the tensions in the bond markets resulting from the tightening of monetary policy to contain inflation at the risk of triggering a recession. The Fed’s stance and the extent of its next monetary tightening seem to have faded into the background, although several central bank officials warn against false hopes, the key word being fighting inflation. ” In the absence of clear signs of a return to positive macro dynamics, a temporary increase in risk appetite may actually increase the likelihood of another market relapse, rather than signaling the end of a bear market. “, Goldman Sachs strategists point out.

Crédit Agricole is better than expected, Ubisoft rumors

Agricultural loan increased by 4.2%. Like BNP Paribas and Societe Generale, the green bank posted better-than-expected second-quarter results on record investment banking activity. BNP Paribas as well as Societe Generale follow with an increase of 1.4% and 1%, respectively.

Air France-KLM advance 2.1% while Lufthansa (+4.6% in Frankfurt) announced that it expects further growth in its results due to a strong increase in demand. The German company expects, in particular, ” significant growth of their third quarter results in consecutive data.

HIS a drop of 8.7%. The satellite operator declined to comment on the information from Financial Times that he is discussing a possible merger with US Intelsat. SES also reaffirmed its financial targets for 2022 after being supported by its Networks division in the first half of the year, confirming a decline in video activity.

Finally, Ubisoft jumped 14% after rumors reported by Reuters that China’s Tencent intends to boost its stake in the video game publisher in which it acquired a 5% stake in 2018.