Cac 40 tries to rebound but recession fears remain strong, market news

The Paris Stock Exchange has recouped most of its losses, while Wall Street is poised to rebound at the open. Stakeholders are enticed by the valuation levels that have become attractive, especially as Cac 40 fell nearly 20% as of Wednesday’s close from its peak in early January. Recently attacked luxury and commodity stocks are in demand, while banks remain under pressure. Oil prices also won back their morning losses. In the United States, weekly jobless claims fell by 2,000 to 229,000 from an expected 226,000.

However, the environment is characterized by poor economic performance and, in particular, a marked slowdown in eurozone private sector activity in June. S&P Global’s pre-composite PMI (Industrial and Services Synthesis) fell to a 16-month low of 51.9. The climate also remains tight in terms of monetary policy in the face of runaway inflation. ” The situation remains the same, but it seems that the market is starting to live with it, looking for a low point. sums up Diego Fernandez of A&G Banca Privada in Madrid.

Shortly after 2:30 pm, Bedroom 40 almost stable at 5,909.66 points (-0.12%), after a low of 5,830.87 (-1.44%) with a business volume of 1.26 billion euros. Contracts future US indices rose between 0.3% for the Dow Jones and 0.7% for the Nasdaq 100. Wall Street closed just under balance on Wednesday.

Eurozone in stagflation phase

S&P Eurozone Global Review reflects the ongoing decline in the service sector, while manufacturing output now appears to be falling sharply. With price indices remaining extremely high, the Eurozone appears to have entered a period of stagflation. (A sluggish economy followed by high inflation, editor’s note), notes Jack Allen-Reynolds of Capital Economics.

Jerome Powell will appear before the House Finance Committee at 4:00 pm, the day after his speech before the Senate Banking Committee. The Fed chairman confirmed yesterday that the central bank ” determined to bring down inflation a message that suggests the Fed will continue its cycle of sharp rate hikes. He also acknowledged that these tightening could shrink the economy and that a “soft landing” it would be very difficult adding that the recession was ” definitely a possibility “.

Rumors about Atos, Deutsche Bank supports Eurofins

Athos advance payment of almost 7%. According to the data, Thales will receive the support of the Ministry of Economy and Finance and the Directorate General of Armaments to try to take over the cybersecurity digital services group. BFM Business.

Thales, takes 1.1% for its part. Jefferies analysts note that Atos will split into two companies no earlier than 2024. If the BFM information is confirmed, the takeover is likely to cover all of Atos’ activities. So given the undervaluation of the latter, Jeffreys believes the eventual deal is likely to refer to anything he perceives as negative for Thales. But that effect could be mitigated by partnering with an investment fund, as mentioned earlier in the year, that could take over the digital services business.

Eurofins Scientific increased by 1.7%. Deutsche Bank upgraded the stock from Sell to Hold, maintaining its target price at 80 euros. The same broker initiates the hedgingUbisoft (+0.7%) to the “purchase” with the goal of 60 euros.

Finally, Valneva suspended from trading pending press release.