THE TREND
The news, worrying throughout the weekend, about the resurgence of Coronavirus, will lower the CAC40 at the opening this morning. The Paris index should open below 4,900 points.
The latest figures show 500,000 deaths worldwide for the Covid-19 which has infected more than 10 million people. About a quarter of the deaths so far reported have occurred in the United States. It is within the world’s largest economy that the question of the extent of a second wave arises.
On Sunday, California ordered the bars to be closed in seven counties, including Los Angeles, which, like a dozen other American states, has faced a record increase in the number of new cases of coronavirus since the start of the epidemic. Texas and Florida also ordered all bars to close on Friday.
WALL STREET
The New York Stock Exchange ended the week in bright red on Friday, facing a record number of new cases of coronavirus in the United States. Bank stocks, as well as Nike, Facebook and Twitter suffered particularly. More generally, investors are concerned about the surge in the Covid-19 cases in the United States, which raises doubts about the pace of economic recovery. Several states, including Texas and Florida, had to suspend the restart of their activities in the face of the coronavirus outbreak.
At the close, the Dow Jones index lost 2.84% to 25,015 points, while the broad S&P 500 index lost 2.42% to 3,009 pts and the Nasdaq Composite, rich in technological stocks, dropped 2 , 59% to 9,757 pts. Over the week as a whole, the three indices fell by 3.3% 2.9% and 1.9% respectively.
ECO AND CURRENCIES
United States :
– Promises of housing sales. (4:00 p.m.)
Europe :
– Spanish flash consumer price index. (9:00 am)
– British final GDP. (10:30 am)
The ounce of yellow metal is trading at $ 1,771. For its part, the euro / dollar parity reached $ 1.1254 this morning. A barrel of Brent is trading at $ 40.12.
VALUES TO FOLLOW
Airbus: Activity reduced by 40% until the end of 2021? In an interview with the German newspaper ‘Die Welt’, Guillaume Faury indicates that he expects to have to reduce his production by 40% over the next two years. “We cannot disconnect from the evolution of airlines,” said the CEO of Airbus. “For the next two years, 2020-2021, we consider that production and deliveries will be 40% lower than we originally planned.” To cope with falling demand from airlines, Airbus cut production by about a third in April, and said it would reassess the situation in June when visibility is slightly higher.
THEY REPORTED THEIR REVENUES / RESULTS …
GEA, Société Fermière du Casino Municipal de Cannes, Bleecker
LATEST “RECOS” OF ANALYSTS …
HSBC goes back to buying to ‘keep’ on Capgemini with a target price of 105 euros and to buy to ‘keep’ on Elior targeting a price of 5.30 euros.
UBS is buying with an adjusted target price from CHF 114 to CHF 130 on Nestlé.
MARKET INFORMATION
Solutions 30: a new step for the transfer to Euronext.
Bel / Unibel Group: issue of bond financing of $ 150 million.
CBO Territoria: payment of the dividend in shares chosen at 68%.
IN SHORT
Carbios: start of construction of the industrial demonstrator.
Neovacs and two partners are proposing a project to take over Famar Lyon.
Sodifrance does not distribute a dividend for the 2019 financial year.
SpineGuard secures equity financing of 2.4 ME over 12 months.
Groupe Flo concludes a PGE of 35 ME.
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