Wednesday, August 5, 2015

The Paris Bourse ends at the highest since April, with Societe Generale (+ 1.65%) – The Point

The Paris Bourse ended sharply Wednesday progression (+ 1.65%), the highest since April, supported by Societe Generale and industrial stocks which benefited from new stimulus measures in China.

The CAC 40 index took 84.59 points 5196.73 points in a trade volume fed 4.5 billion. The day before, he had lost 0.16% and ended five consecutive upward sessions.

Among the other European markets, Frankfurt gained 1.57% and 0.98% London. Furthermore, the Eurostoxx 50 took 1.59%.

The Paris market started the session in the green and has accelerated the pace throughout the day, while his side was attempting Wall Street rebounding.

“The increase is significant despite the fact that there is no big news,” says Frederic Rozier, management consultant at Meeschaert Private Banking.

“The CAC 40 has almost 300 back issues since late July without much justification if not the results of companies globally in above expectations,” he notes.

More generally , European markets attract investors even as US markets are marking time and seek new life.

In addition to these factors, the increase was mainly due day of the Societe Generale jumped and rising industrials, automotive head, according to Mr. Rozier.

These securities benefit “of the new measures that were taken in China to support the markets,” he said.

The country has recently limited the use of short sales that can bet on falling prices, while preparing, according to Bloomberg, the launch of a vast program of public bond issues to finance infrastructure projects and revive a still sluggish economy.

At the same time, the decline in the euro against the dollar is “a fundamental monetary factor strongly supports the bullish action in the Eurozone “, observes in a note Vincent Ganne at FXCM.

The European currency declined after the publication of an interview with the Wall Street Journal of the President of the Federal Reserve of Atlanta, Dennis Lockhart, pleading for a rate increase in September from the US central bank.

The US daily indicators were also contrasting and “do not change the scenario of a possible rise in September,” said Mr. Rozier.

The services activity accelerated more than expected in July, according to the ISM and the private sector created fewer jobs than expected in the same month, indicates the ADP.

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The CAC 40 was also able to rely on a favorable indicator in the eurozone. The growth of private activity has slowed down slightly in July, despite the Greek crisis, according to the PMI stood at 53.9, however doing a little better than the previous estimate (53.7) .

Among the values, Societe Generale pranced ahead of the CAC 40 (+ 7.90% to 48.17 euros) after the publication of better than expected results and the announcement of a new plan savings of 850 million euros over the period 2015-2017.

The automotive industry has been looking for thanks to China, like PSA Peugeot Citroën (+ 3.06% at 18 89 euros), Renault (+ 3.46% to 88.39 euros), Valeo (+ 3.30% to 126.80 euros) and Faurecia (+ 4.52% to 36.90 euros).

Vicat suffered (-1.83% to 67.15 euros) interim results declined, affected by a general decline in the activity of the cement.

Sanofi, first capitalization of the CAC 40, rose sharply (+ 2.53% to 100.65 euros), exceeding for the first time on closing the threshold of 100 euros.

Bourbon dropped 5.43% to 13.05 euros, the oil services sector remains under pressure due to low oil prices. The company has yet issued a 11% increase in its adjusted revenue in the second quarter.

Europcar benefited (+ 2.46% to 12.50 euros) broker notes and closed above its IPO price on the stock exchange, conducted in late June to 12.25 euros.

jbo / sl / pho

EURONEXT

SOCIETE GENERALE

FXCM

PSA PEUGEOT CITROEN

RENAULT

VALEO

Faurecia

Vicat

PARIS AIRPORTS

BOURBON

08/05/2015 6:18:10 p.m. – Paris, August 5, 2015 (AFP) – AFP © 2015

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