The Paris Stock Exchange gains more than 2% by hunting bargains
The Paris Bourse was moving up sharply on Wednesday morning, gaining more than 2% thanks to bargain buying as investors await announcements from the US Federal Reserve after the close.
At 11:05 a.m. (10:05 a.m. GMT), the CAC 40 index rose 2.03% to 6,976.70 points after a rocky start to the week.
The session of the day offers a new illustration of the will which surrounds the markets weakened by the imminence of the announcements of the Fed and the geopolitical tensions around Ukraine.
The Parisian rating had taken up 0.77% on Tuesday the day after a fall of nearly 4%.
“Amazing situation, but yet confidence is returning and so are cheap buyouts,” observes Franklin Pichard, managing director of Kiplink Finance.
“Market players have taken advantage of the recent weakening of the prices of many shares and the relaxation that is emerging on many thematic fronts to position themselves on promising companies”, abounds Andreas Lipkow, for Comdirect.
Event of the week, the meeting of the monetary policy committee (FOMC), will begin Tuesday morning, end Wednesday noon. A press release will be issued at 2:00 p.m. (7:00 p.m. GMT) and Fed Chairman Jerome Powell will hold a press conference at 2:30 p.m. (7:30 p.m. GMT).
The markets are hoping for more visibility in terms of rate hikes and reductions in the Fed’s balance sheet, as well as the trajectory of inflation, the economic emergency of the moment in the United States.
Renault and Airbus, the biggest increases
The action of the car manufacturer was at the top of the podium (+6.09% to 35.44 euros) ahead of Airbus (+5.10% to 113.84 euros) which benefits from the increase of 12.6% in 2021 deliveries from Airbus Helicopters which reached their level before the health crisis.
Valneva soars 9%
The Franco-Austrian laboratory, which is developing a vaccine against Covid-19, has launched the phase 3 clinical trial of its candidate vaccine as a booster dose, after a primary vaccination with a vaccine other than its own. The action climbed 9.01% to 15.49 euros around 09:00 GMT.
EDF on strike
The title is treading water at 8.20 euros while group employees are on strike against the request of the State-shareholder to sell more and more electricity at low prices to its competitors in order to contain the electricity bill households and businesses.
Green light for Faurecia
Faurecia shares rose 3.64% to 40.72 euros after the takeover of German automotive supplier Hella by the French group for the former seventh largest group in the sector was given the green light on Tuesday by the European Commission.
Arkema takes more than 3%
The French chemist Arkema (+3.41% to 128.95 euros) announced on Wednesday a 50% increase in its production capacity for fluoropolymers at its Changshu site in China (east), in order to respond to “the strong demand” in lithium-ion batteries.