(Paris) The Paris Stock Exchange ended up 0.37% on Friday, calmly welcoming the employment figures in the United States which should encourage the American Federal Reserve to amplify its turn of the screw in the coming months.
Posted at 12:00 p.m.
Updated at 12:28 p.m.
The CAC 40 index gained 24.44 points to 6684.31 points. Over the five sessions, it took 1.99%, its third weekly increase in the last four weeks.
Since 1er January, however, the balance is negative: -6.55%.
After an opening in the red, the Parisian rating quickly returned to the positive, where it fluctuated slightly for the rest of the day.
“It’s a quiet session,” notes Stéphane Renou, financial investment expert at Milleis. In the main event of the day, the official monthly report on employment in the United States, job creations, the unemployment rate and the increase in the average wage are “within the announced objectives”, he notes. .
The job market in the United States confirmed its solidity in March, with the unemployment rate now approaching its historic low level before the pandemic, at 3.6%, and above all a tremor of improvement on the front of the labor shortage.
This “validates”, according to Stéphane Renou, the continuation of the rate hike policy of the American Federal Reserve (Fed), which should accelerate the pace at the next meeting, in May, after a first increase in March.
In this context, rates on the bond market started to rise again, with the French 10-year bond going back above 1% (1.02%), far from the high of the week (1.14% ).
The Fed is under pressure from inflation, like the European Central Bank. Inflation rose to 7.5% over one year in the euro zone in March, energy and food causing prices to soar much more than what the institution expected at the end of the year.
The rise in prices, which is cutting into the purchasing power of households, and therefore their consumption, could also have an impact on companies.
“We will have to be vigilant about the results season, which begins in mid-April. For the moment, despite a troubled first quarter, the projections still remain favourable. It will have to be confirmed, ”explains Mr. Renou.
Geopolitical news, with new talks between Russians and Ukrainians, therefore took a back seat on Friday. But it is indeed the progress in the negotiations, according to the two delegations, which have boosted the Parisian rating this week, with a gain of more than 3% on Tuesday.
Exposure to Russia causes prices to fluctuate
Over the week, the winners are in particular the companies having a link with Russia, thanks to the relaxation in the negotiations.
Thus, Renault gained 4.70% to 24.08 euros in the automobile, while Societe Generale took 2.67% to 24.46 euros.
Conversely, Thalès, linked to defence, achieved the worst weekly performance (-6.40% to 112.60 euros).
Sodexo adjusts its forecasts
Sodexo fell 9.46% to 66.82 euros. The resurgence of COVID-19 and the war in Ukraine are prompting the collective catering and services group to expect internal growth “around the bottom of the range” it had indicated, ranging “from 15% to 18%”.