French benchmark CAC-40 of the Euronext Exchange rallied smartly from Monday’s levels and chose to look beyond the twin international tremors of tapering in the U.S and corporate debt default in China.
The smart debut of Universal Music Group, that was the most anticipated European IPO of the year added to the sentiment. Market mood was influenced positively by the publication of OECD’s September report which acknowledged the strong global recovery and projected GDP turnaround in France as well as entire Euro Area.
The CAC-40 is currently trading at 6547.83, up 1.43 percent from Monday’s close and 5.29 percent lower than the 52-week high of 6913.67. The day’s trading has been between 6513.75 and 6557.03.
Shares of Universal Music Group that was recently spun off from French media group Vivendi soared 36 percent on debut listing at Euronext, Amsterdam. Vivendi has shed 14 percent by now. UMG and Vivendi remain the most active scrips in the day’s trading.
The latest OECD report released earlier in the day projected France’s GDP to grow 6.3 percent in 2021 and 4 percent in 2022 versus a contraction of 8 percent in 2020.
Likewise, the Euro Area GDP has been projected to grow at 5.3 percent in 2021 and 4.6 percent in 2022 versus a contraction of 6.5 percent in 2020.
Total Energies has gained more than 3 percent. Energy and waste management solutions provider Veolia Environnement has shed around 1 percent.
The EURUSD pair is hovering around 1.1748 levels versus 1.1725 on Monday.
France’s ten-year Bond yield is at 0.013 percent versus 0.026 percent at previous close.
CAC-40 Looks Beyond Taper-driven Fed And Debt Laden Evergrande
2021-09-21 12:46:05
