(AOF) – European indices are moving in a scattered order. Several French statistics were published this morning. Inflation in harmonized data would amount to 2.5% in June 2024 in France, in line with expectations. This afternoon, investors will learn the figures for the PCE price index. On the value side, L’Oréal is the red lantern of the CAC 40. The group now anticipates global market growth of between 4.5% and 5% for 2024 compared to more than 5% previously. Around 12 noon, the CAC 40 lost 0.36% to 7,503 points. The Eurostoxx50 gained 0.31% to 4,917 points.
Nokia
is strengthening in optical transmission equipment and investors are appreciating it. The share of the Finnish telecom equipment manufacturer gained 1.41% to 3.54 euros. It will buy the American company Infinera, for an enterprise value of 2.3 billion dollars. Nokia is offering $6.65 per share, a 28% premium to the June 26 closing price. The transaction is expected to be accretive to Nokia’s comparable earnings per share in the first year following completion of the transaction. This accretive impact will exceed 10% by 2027.
Yesterday, at an event hosted by JP Morgan, the CEO of
L’Oreal
Nicolas Hieronimus recognized that the beauty market was a little less buoyant than expected due to the disappointing dynamics in China. 1, the rebound in China not materializing as expected. Consequently, the cosmetics giant’s action recorded the biggest drop in the CAC 40, losing 2.81% to 410.95 euros.
To the saga
Atos
(-13.79% to 1 euro) continues. The struggling IT group has been informed by David Layani and Helen Lee Bouygues of their resignation with immediate effect from the board of directors, and of their intention to exit Onepoint from the company’s capital. David Layani, the president and founder of Onepoint, and Helen Lee Bouygues were co-opted as directors last February after the digital transition specialist became the reference shareholder of Atos at the end of 2023, with 11.4 % of its capital. The consortium led by Onepoint indicated on Wednesday that it had ended negotiations with Atos, which had chosen their financial restructuring offer.
Today’s macroeconomic figures
At the end of the first quarter of 2024, public debt within the meaning of Maastricht stands at 3,159.7 billion euros, an increase of 58.3 billion euros, after +6.4 billion in the previous quarter, indicates INSEE this Friday. Expressed as a percentage of gross domestic product (GDP), it stands at 110.7%, after 109.9% in the fourth quarter of 2023.
In May, production prices in French industry decreased over one month for the sixth consecutive month (-1.2% after -2.8% in April), INSEE indicated this Friday. They decrease both for products intended for the French market (-1.4% after -3.6%) and for those intended for foreign markets (-0.4% after -0.3%). Over one year, production prices in French industry are down for the eleventh consecutive month (-5.1% after -5.4% in April). They are approximately 18% above their 2021 average level.
In May, household consumption expenditure on goods rebounded over one month (+1.5% in volume after -0.9% in April – revised data), INSEE reported this Friday. This rebound is explained by the increase in food consumption (+2.4%) and energy consumption (+3.9%). Consumption of manufactured goods decreased slightly (-0.3%).
Over one year, the harmonized consumer price index would increase by 2.5% in June 2024 in France, in line with expectations, after 2.6% in May.
In the United States, household income and consumption in May will be announced at 2:30 p.m. as will the PCE price index in May.
The Chicago Purchasing Managers’ Index for June will be released at 3:45 p.m. ahead of the University of Michigan Consumer Confidence Index at 4 p.m.
Around 12 p.m., the euro gained 0.03% to 1.0707 dollars.
