CAC40: struggles to save 7,500, rates up 5pts

(CercleFinance.com) - The CAC40 has completely reversed its downward trend and is threatening to close at the day's low, close to 7,500Pts, whereas it was hovering at 7,618Pts around 10H (+0.
8%).
'A year ago, the CAC40 began a bullish rally of almost 20% that would last until March. However, Christopher Dembik of Pictet Asset Management believes that it is unlikely that a similar scenario will occur this year.
The CAC40 has gained just 10% since the end of October 2023, compared with +40% for the S&P and +45% for the Nasdaq (which flirted with its all-time high on Monday around 4 p.m.), and has not gained anything since January 1.540, while Frankfurt, Milan and Brussels posted +16%, the S&P500 +22% and the Nasdaq +23.5%.
Wall Street reopened with no real trend, and there still isn't one after 2.5 hours.
FORD plunged -8% due to a $1 billion loss in its electric vehicle division.

The session was still quiet on the macroeconomic data front: the Conference Board's index of US consumer confidence recovered strongly in October, according to the monthly survey by the Conference Board employers' organization, which came in at 108.7 versus 99.2 the previous month (revised from 98.7 on first reading).

In detail, the sub-index of Americans' assessment of their current situation rose by 14.2 points to 138, while that measuring their expectations rose by 6.3 points to 89.1, moving away from the 80 threshold that usually prefigures a recession.

But investors' attention is focused on a new surge in bond yields in the US, with the '10-yr' rising +5pts to 4.33% (4.345% at the day's high) and the '30-yr' peaking at 4.58% (4.566% now, +3.6pts), its worst mark since July 3, 2023.
Things are no better in Europe, where the Bund is up by +5pts to 2.335%, our OATs by +6.5pts to 3.072%, Italian BTPs by +6pts to 3.555%.

On the FOREX, the Dollar has resumed its ascent, gaining +0.25% to 1.0785E, +0.4% against the Swiss Franc and +0.3% against the Yen.
The combined rise in interest rates and the dollar is still not halting the surge in gold prices, which set a new record at over $2,770/Oz - the first time this has happened in over 50 years!

On this front, Vivendi reports that its Supervisory Board has finalized the resolutions to be submitted to its Combined General Meeting on December 9, to approve the demerger of Canal+, Havas and Louis Hachette Group.

TotalEnergies announces that TE H2, CIP and A.P. Møller Capital have signed an agreement for a large-scale project in the Kingdom of Morocco. Located near the Atlantic coast in the Guelmim-Oued Noun region, the 'Chbika' project aims to build 1 GW of onshore solar and wind power capacity.

OCP Group and Engie have signed a strategic partnership aimed at accelerating OCP Group's energy transition and actively contributing to that of the Kingdom of Morocco.


Copyright (c) 2024 CercleFinance.com. All rights reserved.