The Paris Bourse ended sharply lower on Tuesday (-1.69%), the lowest since October 2014, as the day depressed by doubts on the banking sector and fears about the global economy.
The CAC 40 index lost 68.77 points 3997.54 points in a high volume of trade of 5.5 billion euros. The day before he had dropped 3.20%.
Among the other European markets, Frankfurt dropped 1.11% and 0.88% London. Furthermore, the Euro Stoxx 50 lost 1.75%.
The Paris market has been hesitant in early trading before weakening again to the point of losing almost 3%.
however, he limited the damage late in the session, after touching down and pass under the 4,000 points.
“stress is widespread on the market,” observes Andrea Tueni , analyst at Saxo Bank, citing fears about the economy, oil and now “the banking sector is in the eye of the storm”.
John Plassard at Mirabaud Securities, “volatility trumps logic. “
” Between depressing news on oil and banking stress, the heart of investors balance, “he observes.
the banking sector remained under pressure against a number of concerns related to low interest rates and the fragility of some institutions in the euro area.
“the market is afraid that the combination of the oil crisis, the slowdown economic and cheap rates cause defaults “of several institutions especially in southern Europe, says Mr. Tueni.
Deutsche bank, Germany’s biggest bank, has in turn sought to reassure investors about its ability to pay its debts in the coming months.
fears about debt spreads also to all companies, as shown by the soaring prices of CDS (Credit Default Swap) , hedges against the default, which recalls “the scenario of the debt crisis” of 2011, according to Mr. Tueni.
always markets are also subject to changing oil prices trying to stabilize after opening slightly down in New York, following a sharp decline.
The crude was subject of a report from the International Energy Agency (IEA), which has proved pessimistic about the prospects for price recovery.
the day is also devoid of significant indicator, investors now awaiting the response to the US Congress on Wednesday and Thursday of the president of the US Federal Reserve (Fed).
the market will watch for any indication on the future of US monetary policy as the Fed committed since the end of 2015 in a rise in interest rates.
“the meeting tomorrow is very important when the market less confidence in the ability of central banks to support the market, “warns Mr. Tueni.
Among the values, the banking sector weighed heavily on the trend. BNP Paribas lost 3.56% to 37.90 euros, Credit Agricole 4.54% to 7.84 euros, Societe Generale 4.38% to 28.83 euros and Natixis 5.46% to 3.86 euros.
the oil stocks have suffered, like Technip (-5.04% to 40.52 euros), Total (-3.58% to 36.81 euros), CGG (-17, 54% to 0.47 euro) and Vallourec (-12.41% to 3.46 euros).
ArcelorMittal was heavily penalized (-10.79% to 2.88 euros) by lowering its recommendation to both JPMorgan and ING, while Goldman Sachs raised its own.
Sanofi lost 1.39% to 68.94 euros while the pharmaceutical giant, faced with the decline of its flagship activity of diabetes but still enjoying strong performance in rare diseases with Genzyme, reported earnings annual net of 7.37 billion euros, in line with expectations.
Air Liquide took 0.81% to 93.15 euros. The group announced the acquisition of British PDP Couriers, controlled temperature transport specialist directed to the pharmaceutical industry.
Scor resisted (+ 0.36% to 29.37 euros) following a 2% growth at constant exchange rates, gross premiums during contract renewals in damage and liability of January.
jbo / cb / jpr
02/09/2016 6:25:44 p.m. – Paris, February 9, 2016 (AFP) – AFP © 2016


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