(AOF) – European equity markets opened higher but the momentum tends to lose some of its vigor, the concerns aroused by inflation – up to 9.9% in September once morest 9.1% in August – and the rise in rates with a Bund up 4 points to 2.32% and a 10-year bond in the USA gaining 5 points to 4.06%. In terms of stocks, Sartorius Stedim Biotech, in poor shape, is blowing the cold, while with its better-than-expected results, ASML is blowing the heat. The CAC 40 and the Eurostoxx gained 0.59% to 6,103.04 points and 0.91% to 3,495.19 points respectively.
The supplier for the semiconductor sector
ASML
(+7.53% to 434 euros) revealed better than expected results. In the third quarter, the European technology firm generated a net profit of 1.7 billion euros once morest 1.74 billion euros a year earlier. It was expected at 1.42 billion, according to the consensus. Operating profit rose from 1.919 billion euros to 1.939 billion, representing a margin of 33.5% (-3.1 points). It was expected at 1.6 billion euros.
These last years,
Sartorius Stedim Biotech
had taken the habit of reserving good surprises for investors, either by revealing solid results, or by raising its annual objectives. Over the last 3 years, the action of the supplier of materials for the biopharmaceutical sector has consequently jumped by more than 120%. The warning on 2022 sales thus has the effect of a cold shower, causing Sartorius Stedim Biotech shares to fall by 13.58% to 300.9 euros, the largest drop in the SBF 120.
Virbac
fell 8.07% to 250.50 euros to find itself in penultimate place in the SBF 120 index the day following the downward revision of its 2022 profitability target. Faced with a slowdown in its market and inflationary pressures, the French pharmaceutical laboratory dedicated to animal health is now targeting a ratio of current operating income (before amortization of assets resulting from acquisitions) to sales of between 14% and 15% at constant exchange rates once morest around 15% at constant exchange rates previously.
The macroeconomic figures of the day
According to Eurostat, the annual inflation rate in the euro zone rose to 9.9% in September, once morest 9.1% in August. It had been announced at 10% in the first estimate and economists expected this figure to be confirmed. In the European Union, it stands at 10.9%. In September the largest contributions to the euro zone’s annual inflation rate came from energy (+4.19 percentage points, pp), followed by food, alcohol & tobacco (+2.47 pp), services (+1.80 pp) and industrial goods excluding energy (+1.47 pp).
In the United States, housing starts and building permits in September will be known at 2:30 p.m.
The weekly evolution of petroleum product stocks will be communicated at 4:30 p.m.
The Fed’s Beige Book on the state of the economy will be unveiled at 8:00 p.m.
Around noon, the CAC 40 lost 0.45% to 0.9810 dollars.
