(BFM Bourse) – The CAC 40 is falling very sharply at mid-session this Thursday, with the market having difficulty accepting the outcome of the monetary policy meeting of the American Federal Reserve.
The Paris Stock Exchange is suffering this Thursday and, this time, the political uncertainty in France does not seem to have much to do with it.
The rate on the 10-year French bond is tightening but by only 3 basis points, to 3.1786%, the same increase as on the German yield of the same maturity.
The CAC 40 lost 1.3%, a drop in line with that of other European markets, to 7,761.32 points.
Risk aversion is weighed down by the latest monetary policy meeting of the American Federal Reserve (Fed). The American central bank, as expected, left its rates unchanged. But the “dot plots”, that is to say the economic and monetary projections of the Fed members, show only one rate cut this year.
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The automobile in the tough
“The median projection of the dotted chart has taken a ‘hawkish’ turn (restrictive, Editor’s note), indicating only one rate cut in 2024, compared to the three cuts previously anticipated in March,” notes Whitney Watson of Goldman Sachs Asset Management.
“To this we can add that inflation estimates have been raised for 2024, 2025 and 2026,” adds John Plassard of Mirabaud who believes that “profit taking” could be observed on the indices.
On the value side, it’s simple, the entire CAC 40 is in the red, notably the car manufacturers Renault (-2.8%) and Stellantis (-2.6%). Stellantis also indicated, ahead of its day dedicated to investors, that it intended to increase the share of its results allocated to the payment of the dividend, in 2025.
At the level of the smallest capitalizations, Vente-unique.com announced the resuscitation of the Habitat site this Thursday.
On other markets, the euro fell by 0.1% against the dollar. Oil is falling. The August contract on North Sea Brent lost 0.8% to $81.96 per barrel, while the July contract on WTI listed in New York lost 0.9% to $77.78 per barrel.
Julien Marion – ©2024 BFM Bourse
