CAC40: driven by Renault, under a shower of statistics

(CercleFinance.com) - The Paris stock market climbed 0.
3% this morning, to around 7,280 points, helped by Renault (+4.2%) and STMicro (+1.5%) in particular.

It promises to be a busy day for statistics. This morning, investors have already taken note of the HCOB composite PMI index for overall activity in the eurozone. This fell from 50 in October to 48.3 in November, signalling a return to contraction in the eurozone's private sector.

In France, the HCOB PMI composite index of overall activity fell from 48.1 in October to 45.9 in November, signalling the sharpest contraction in French private sector activity since January.

This afternoon in the US, investors will also be paying close attention to the ADP private employment survey, industrial orders and the ISM services index.

This last indicator will determine whether the victory of Donald Trump, who has promised tax cuts, is generating a degree of optimism among business leaders.

Against this backdrop, ECB President Christine Lagarde's speeches from Brussels, followed by Fed boss Jerome Powell's in New York, will be closely watched in order to anticipate the evolution of monetary policies on both sides of the Atlantic.

Market participants will also be keeping an eye on the political situation in France, where Michel Barnier's government is threatened by a motion of no-confidence, which could be put to a vote later this afternoon.

In Asia, stock markets were hesitant on Wednesday in the face of the confusion reigning in South Korea, where parliamentarians rejected the martial law decreed by Yoon Suk Yeol as a surprise measure to counter supposed threats from "North Korean communist forces".

On the bond front, Treasuries hardly moved at all, as a wait-and-see attitude prevailed ahead of the busy calendar of the next few days, resulting in a stagnant 10-year bond yield of around 4.22%. The Bund for the same maturity is hovering around 2.07%, while the OAT is at 2.90%.

Oil prices are up slightly on the eve of an OPEC meeting, which is expected to refrain from making any major decisions in the current climate of uncertainty.

North Sea Brent crude is up 0.2% at $73.8.

In news from French companies, Pierre & Vacances-Center Parcs reports a return to positive net income for its 2024 financial year at 29 million euros, after more than a decade of net losses, as well as an adjusted EBITDA up 27% to 174.3 million, above its guidance.

Nexans announces that it has won a major contract from ScottishPower Renewables (a subsidiary of Iberdrola) for the East Anglia TWO offshore wind farm project, located around 33 kilometers off the Suffolk coast in the southern British North Sea.

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