CAC40: censorship = fait accompli, new DAX and Nasdaq record

(CercleFinance.com) - (CercleFinance.
com) - The Paris stock market gained 0.3 to 0.4% on Thursday, around 7,330 points, led by the +4% trio of Stellantis, Accor and Société Générale.
Wall Street seems to have come to a complete standstill after 90 minutes of trading, but buyers are keeping a firm grip and the CAC40 is doing well.

The adoption of the motion of censure aimed at toppling the Barnier government was an archetypal example of a "non-event".
While the overthrow of the government has opened up a new period of political uncertainty, analysts point out that the Paris index is weathering the political turbulence rather well, as are the European markets (Euro-Stoxx50 up +0.6% at 4.950, new record for the DAX40 at 20,270Pts).
In a sign that the "censure" is not worrying currency traders, the Euro is back up by more than 0.45% to 1.0560 on the "fait accompli".
The Nasdaq (+0.1%) set a new all-time record at the start of the session, but this was "on the bangs", and the S&P500 was down -0.1%, while the Dow Jones lost -0.2%.

No reaction to today's US statistics: the US trade deficit fell sharply to $73.8 billion in October, compared with the previous month's $83.8 billion (revised from an initial estimate of $84.4 billion), according to the Commerce Department.

This 11.9% month-on-month decline in the deficit resulted from a 4% contraction in US imports of goods and services, to $339.6 billion, thus outstripping a 1.6% drop in exports, to $265.7 billion.
On the eve of the publication of the NFP, the Labor Department announced that 224,000 new U.S. jobless claims were registered last week, up 9,000 on the previous week.

The four-week moving average - more representative of the underlying trend - stood at 218,250 for the week to November 30, up 750 on the previous week.

Finally, the number of people receiving regular unemployment benefits fell by 25,000 to 1,871,000 in the week to November 23, the most recent period available for this statistic.
US T-Bonds are unaffected by the rise in unemployment: they could have eased, but they are down +2.5pts to 4.2060%, and the 2-year is up +4pts to 4.1670%.

While the yield on French OATs stands at 2.878/2.882% (-1.5Pts in 24H), the German Bund is at 2.108% (+5Pts), meaning that the yield differential between Germany and France has fallen back below 80 basis points (almost -10Pts in 1 week).

We're a long way from a financial crisis scenario", says Christopher Dembik.

In a sign of traders' appetite for all assets with strong upward potential, bitcoin broke through the symbolic $100,000 barrier overnight for the first time in its history.000 for the first time in its history (record raised to $104,000), buoyed by hopes of a deregulation of the cryptocurrency sector with Donald Trump's forthcoming return to the White House.

In France, manufacturing output was stable in October on a month-on-month basis (after -0.7% in September), and virtually stable in industry as a whole (-0.1% after -0.8%), according to Insee's CVS-CJO data.

Note that in Germany, new orders in volume terms in the manufacturing industry fell by 1.5% in October 2024 compared with the previous month, according to Destatis CVS-CJO data, following a 7.2% jump in September.

In other French company news, Safran (-5%) forecast sales growth of around 10% in 2025, operating income before non-recurring items of between 4.7 and 4.8 billion euros, and free cash flow of between 2.8 and 3 billion.

Spie announces that it has signed an agreement to acquire 100% of Corporate Software, a Swiss company founded in 2011 that 'has established itself as a leading provider of IT services and consulting'.

Finally, Unibail-Rodamco-Westfield (URW) reports that it has acquired a 38.9% stake in URW Germany GmbH and its related entities (URWG) from its joint venture partner Canada Pension Plan Investment Board (CPP Investments).

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