The Paris Bourse on course while waiting for the ECB – Boursorama

The Paris Bourse on course while waiting for the ECB – Boursorama

Focus on the front of the Palais Brongniart, former Paris Stock Exchange in 2013 (AFP / File / Thomas Coex)

Nothing seems to stop the Paris Stock Exchange continues to rise since the beginning of the year and will count again on the European Central Bank next week to give him grist.

“The index is testing the highest” and the upward crossing of the 4,900 points threshold “is still a good step,” said Isabelle Enos, deputy director of management at B * capital.

During the past week, the CAC 40 gained 2.50% and finished at 4,951.48 points at the highest since June 2008. Since January 1, the Paris index garnered 15 89%.

“It’s still a beautiful course, maybe a little faster,” she said.

The promise made in January by the ECB to dump heaps liquidity in the markets, in particular by extending its asset purchase program to sovereign debt – step expected in March – was widely anticipated by the investors, constituting a major support to the rapid rise in the Paris index.

The monetary institution of Frankfurt holding its second meeting of the year on Thursday and “the markets will be on the lookout for details from the ECB on its quantitative easing program,” explain the BNP Paribas economists, “after learning more about the approach of the Fed’s monetary policy” with a speech Tuesday of the President of the Federal Reserve Janet Yellen, they remind.

The speech of Ms. Yellen “helped to reassure investors and push in time expectations of a rate hike” of the Fed, say Crédit Mutuel-CIC strategists.

“Investors see the glass half full because the discourse has not brought a lot of new elements,” notes, however, Ms. Enos.

Considered inevitable by the markets, the rise in interest rates in the United States depends mainly on the pace of recovery in the country. The Fed Beige Book Wednesday and expected employment report for the month of February Friday will see more clearly.

In addition to the central banks continue to make rain or shine on the markets, the acceptance by Brussels a list of reforms submitted by Athens in exchange for the extension until the end of June of the aid program that keeps the country afloat, has further clarify a little more the horizon of investors.

“This is good news in itself,” said Ms. Enos even if it is not excluded that “the record back on center stage” in the coming months, according to Pascale Seivy, head of investment advice within the Pictet bank.

Other thinning in heaven investors, business publications were generally satisfactory and this “improvement should continue with the gradual integration of elements” such as oil prices fall and the fall the euro, explains Seivy.

“The market expectations on a number of points,” which led the rise, “are being confirmed by both macroeconomic indicators and in the results of companies’ she continues.

A series of indicators in the euro area next week will support these expectations, including unemployment figures and inflation in February, prices for industrial production in January or a second estimate growth in the fourth quarter

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