The CAC-40 benchmark of the Euronext exchange made further advances despite decreasing dovish stances by central banks and PMI readings missing market expectations. While the U.S. Fed officially plunged into a tapering mode, Bank of England acknowledged the strengthening case for a moderate tightening.
The CAC-40 is currently trading at 6686.53, up 0.75 percent from Wednesday’s close and 3.29 percent lower than the 52-week high of 6913.67. The day’s trading has been between 6667.36 and 6718.80.
Meanwhile, the IHS Markit France flash PMI releases for September indicated that Manufacturing PMI fell to 55.2 from 57.5 in the prior month; Services PMI decreased to 56 from 56.3 in August; and Composite PMI dropped to 55.1 from 55.9 in August.
Eurozone’s IHS Markit flash PMI releases for September also indicated similar trend as Manufacturing PMI slipped to 58.7 from 61.4 in the prior month; Services PMI decreased to 56.3 from 59 in August; and Composite PMI dropped to 56.1 from 59.0 in August.
Data also showed that homeland’s Business Confidence indicator for September declined to 106 from 110 in the previous month whereas the Business Climate indicator increased to 112 from 110 in the previous month.
Waste and energy management solutions provider Veolia Environnement is the top price gainer, having advanced 2.90 percent from Wednesday’s levels. Grocery business Carrefour, IT services provider Capgemini, auto manufacturer Renault as well as luxury goods business Hermes International have all gained more than 2 percent.
Healthcare business Eurofins Scientific which recently was added to the CAC-40 index has shed 0.90 percent. Steel major Arcelormittal that has declined 0.21 percent is the only other scrip in the index to have trailed Wednesday’s levels.
Luxury goods group LVMH is the most active scrip with a turnover of 105 million. The scrip has gained 0.98 percent.
The EURUSD pair has increased to 1.1717 from 1.1686 on the previous day as global risk-on sentiment goaded investors away from the safe-haven greenback. The dollar index has slipped to 93.21 from 93.46 at the close on Wednesday.
France’s ten-year Bond yield has increased to 0.039 percent versus 0.006 percent on the previous day, reflective of the sentiment surrounding the moderation in an accommodative stance by the U.S. Fed and tightening warnings by BOE.
Market Analysis
CAC-40 Holds On To Gains
2021-09-23 12:24:46
