The chart of the German Dax stock price index on the Frankfurt Stock Exchange
couple Pauline Foret
European stock markets ended lower on Monday with the exception of the British Footsie, losses in the technology sector having been offset by the rise in stocks linked to natural resources, while the markets hold their breath before the American presidential election.
In Paris, the CAC 40 lost 0.5% to 7,371.71 points. In Frankfurt, the Dax fell 0.47%. In London, the FTSE 100 was an exception, ending up 0.09%.
The EuroStoxx 50 index lost 0.42%, the FTSEurofirst 300 fell by 0.29% and the Stoxx 600 lost 0.26%.
All attention now turns to the November 5 presidential election in the United States, where polls have incumbent Vice President Kamala Harris, 60, neck and neck against former President Donald Trump, 78. years.
“A victory for (Donald) Trump will probably mean some underperformance of the European market against the American market,” said Sebastiano Chiodino, head of responsibility-focused investments at Generali Asset Management.
“On the other hand, a victory for Harris will go more towards the continuity and, inevitably, the end of the 'Trump trade', which could allow European stocks to catch up with American stocks,” he added.
The markets are also awaiting the meeting of the Federal Reserve this Thursday, which could take place while the name of the new tenant of the White House may not yet be known if the vote counting continues.
VALUES IN EUROPE
The energy sector gained 0.35%, driven by rising oil prices after OPEC+ countries declared their intention to delay their planned production increase by a month. On the other hand, the technology sector slipped 1.06% after Morgan Stanley lowered its recommendation on STMicroelectronics to “underweight” from “online weight”, sending the stock down 3%.
Burberry rose 4.8% on the London Stock Exchange following press information suggesting an interest from Italian competitor Moncler (-2.1%) to buy the British luxury group.
Schneider Electric fell 2.33%, bottom of the CAC 40, while general manager Peter Herweck was dismissed amid a strategic disagreement with the board of directors.
Swedish group SBB fell 22.8%, with analysts pointing to an article in business media Daily Dagens Industri which encouraged investors to sell their stake in the heavily indebted real estate group.
A WALL STREET
On Wall Street, investors are also being particularly cautious on the eve of the presidential election, causing the indices to move in mixed order.
The Dow Jones lost 0.46%, the S&P-500 was stable and the Nasdaq advanced 0.16%.
On the value side, Tesla erases part of its losses after falling by almost 3% at the start of the session, the electric car manufacturer having sold 68,280 electric vehicles manufactured in China in October, a drop of 5.3% over one year. , according to data from the China Passenger Car Association published Monday. The stock is down 0.14%.
Nvidia gains 2.69% after the announcement that the technology giant will replace Intel (-2.42%) in the Dow Jones Industrial Average index from November 8.
TODAY’S INDICATORS
Investor morale in the euro zone increased for the second consecutive month in November, but a little less than expected, shows a survey published Monday.
The manufacturing sector in the euro zone, for its part, showed some signs of stabilization in October, as activity contracted for the 28th month, but at a slower pace, while that of Germany resumed. its breath and that of France continued its decline.
CHANGES
The dollar fell on Monday, investors reversing their decision to take refuge in values considered favorable in the event of Donald Trump's victory.
The greenback lost 0.46% against a basket of reference currencies, while the euro rose 0.51% to $1.0889.
RATE
Like the dollar, American bond yields had benefited in recent days from speculation surrounding a possible victory for Donald Trump. They are largely falling back this Monday.
The yield on ten-year Treasuries fell 5.8 basis points to 4.3049%, and that on two-year bonds fell 4.3 basis points to 4.1599%.
In the wake of American bonds, the yield on the ten-year German Bund fell one basis point to 2.394%, while that of the two-year rose 1.2 basis points to 2.291%.
OIL
Oil prices are rising after OPEC+ countries decided to delay their planned production increase by a month and investors are bracing for the fallout from the US presidential election.
Brent gained 2.2% to $74.71 per barrel and American light crude (West Texas Intermediate, WTI) gained 2.36% to $71.13.
TO BE CONTINUED ON TUESDAY:
American voters are called to the polls on Tuesday to choose their future president, a historic vote in the world's largest economy whose fractures are illustrated in the bitter and indecisive duel between Democrat Kamala Harris and Republican Donald Trump for the White House.
Several economic indicators are also on investors' daily agenda, such as industrial production and the budget deficit in France, the PMI services index in France, Germany and Great Britain, as well as the ISM services index. UNITED STATES.
(Written by Pauline Foret, edited by Blandine Hénault)
