The Paris Stock Exchange closed sharply down 1.84% on Thursday, hit by disappointing economic data in the US, with market nervousness exacerbated by the conflict between Ukraine and Russia.
The CAC 40 stellar index lost 119.65 points to 6378.37 points, its lowest level since July 20, 2021. It rebounded 1.59% the day before after falling nearly 4% on Tuesday.
The Paris rating remained close to its level the day before until noon, taking a breather from the very high volatility of the past few days, a “consolidation day,” said Rafael Tuin, head of capital strategy at Tikehau Capital. markets.
In particular, the lull was caused by “stabilization of banking shares, the market is beginning to better understand the Russian risk on European banks,” adds the analyst.
However, for him, “the atmosphere remains extremely hectic and uncertain, we feel that the market can go one way or another at any moment with the slightest news from Ukraine.”
Ultimately, it was the publication of disappointing economic statistics in the US that forced the stock markets to go negative. Growth in activity in the services sector really slowed down in February, while analysts, on the contrary, expected acceleration.
For Rafael Tuen, it is “maybe the market is looking a little further than Russia and is starting to think about the post-crisis period.”
On the eighth day of the invasion of Ukraine, Russian troops, after taking the first major city, intensify the shelling of other cities, including the strategic port of Mariupol, as new negotiations began shortly before 16:00.
The conflict sparked a commodity boom. On Thursday morning, a barrel of US WTI topped $115, which has not been seen since 2008, while a barrel of Brent oil was close to $120. But by the end of the day, oil and gas prices finally calmed down.
Reassuring Energy Technip
Shares of Technip Energies jumped 13.64% to 10 euros after the French engineering and energy services group said it had a “discreet” financial impact from the crisis related to the Russian invasion of Ukraine. The company has also “ceased work on any new business opportunities in Russia.”
Thales solid thanks to protection
In 2021, the production of defense equipment once again stimulated the activity of the French group Thales, whose net profit more than doubled in a year. His share, which has already moved strongly since the start of the war in Ukraine, is down 3.79% to 106.80 euros.
Societe Generale wants to calm its presence in Russia
Societe Generale bank has assured that it will be able to “absorb the consequences” of losing control of its subsidiary in Russia, Rosbank, which accounts for 2.8% of its total net banking income (equivalent to its turnover) in 2021. Its title BNP Paribas lost 0.75% to €23.13, while BNP Paribas added 1.59% to €50.76 and Credit Agricole 0.22% to €10.76.
Engie and Publicis at the bottom of the CAC 40 rankings
Energy group Engie, which co-financed the Nord Stream 2 gas pipeline, said it was exposed to the maximum “credit risk” of €987 million on the controversial project, hit by sanctions following the Russian invasion of Ukraine. Its shares lost 6.26% to 11.32 euros.
Shares of Publicis lost 6.70% to 52.68 euros. However, the French communications giant has recorded record results in 2021.
- Euronext CAC40