The Paris Stock Exchange ended in balance on Friday, taking a break after a week marked by corporate results, while uncertainties increased in the run-up to the American presidential election.
The flagship index lost 0.08% to 7,497.54 points, a decline of 5.74 points. The day before he had also finished sluggish, this time gaining 0.08%, to 7,503.28 points.
Over the week as a whole, the CAC 40 fell by 0.61%.
Investors preferred to remain wait-and-see on Friday, after receiving a series of generally mixed third-quarter corporate results all week.
Ils “have so far received fairly average results, particularly in Europe. It could have been worse”summarizes Guillaume Chaloin, director of equity management at Delubac AM.
Investors’ focus is now turning to the approaching US elections on November 5.
“The elections are the last point of uncertainty that remains to be resolved this year”explains Guillaume Chaloin.
Macroeconomic indicators should allow them to wait, with the gross domestic product (GDP) in the United States for the third quarter on Wednesday, before the highly anticipated American unemployment figures for the month of October and the ISM activity index in the manufacturing sector on Friday.
American consumer confidence, published this Friday, recovered in October, reaching its highest level in six months: the index climbed to 70.5%, compared to 70.1% in September, better than expected by the consensus of analysts who counted on 68.9%.
This publication reinforces the idea that the American economy remains dynamic but raises fears of a slower pace of rate cuts from the American Federal Reserve, which could displease the markets.
In France, GDP for the third quarter and inflation for the month of October will also be published.
Investors are also still scrutinizing the heated discussions currently taking place in the National Assembly concerning the 2025 draft budget presented by the government of Prime Minister Michel Barnier.
In this context, the French ten-year bond reached around 4:20 p.m. GMT 3.04%, compared to 2.99% the day before at closing. The German reference rate stands at 2.29%, compared to 2.26%.
Valeo cale
The stock of the equipment manufacturer Valeo plunged 9.45% to 9.42 euros, the biggest drop in the SBF 120, the day after the announcement of a downward revision of its turnover target for year 2024, to 21.3 billion euros, in a slowing automobile market.
Vinci in the red
The French construction giant Vinci fell by 3.40% to 100.75 euros after presenting on Thursday a turnover lower than expectations, up slightly by 1.4% to 18.5 billion euros at third trimester. Vinci clarified that he was counting “for 2024 on a further increase in its turnover, but of a lesser magnitude than that achieved in 2023”.
Nexity shines
Nexity, the leading French real estate developer, gained 4.63% to 13.63 euros on the SBF 120, after indicating on Friday that it foresees “favorable signals” resumption of development activity with the drop in borrowing rates, despite the new real estate crisis. The group, however, reported a drop in its turnover over the first nine months of the year and the approval of its job protection plan which provides for 275 layoffs.
