The star CAC 40 index came close to its all-time high in the session before retracting and returning to balance at the close (-0.01% to 7,344.96 points), following six sessions in the green.
The market is “rather treading water”, which surprises Mikael Jacoby, head of continental brokerage at Oddo, given that the “rise in barrel prices is playing the game of inflation”, he commented for the AFP.
Oil prices have risen since the announcement of unexpected production cuts by OPEC countries and their allies, which revives inflationary fears and would argue in favor of further increases in key rates by central banks.
Thus, the stock markets are, according to the expert, currently caught in “two counter-currents”, one concerning inflation which remains high and calls for an action to increase the rates of the central banks and the other, concerning the economic slowdown, which would induce a pause in monetary tightening.
After the deceleration in the United States of price increases in February and the continued decline in activity in the American manufacturing industry in March, American industrial orders, published on Tuesday, weakened more sharply than expected in February at -0.7%.
Investors are thus “in a wait-and-see position” also characterized by “anecdotal trading volumes”, says Mr. Jacoby.
With a stock market closed Friday then Monday in Europe, “we probably have a busy and nervous week ahead of us” on the return from the Easter weekend, believes the specialist.
L’Oréal offers itself the luxury of Aesop
L’Oréal, the world’s number one cosmetics company, announced on Tuesday the signing of an agreement with Natura & Co for the acquisition of Aesop, the Australian luxury cosmetics brand, valued at 2.525 billion dollars. The action gained 1.18% in Paris.
Alstom red lantern
The Alstom share (-5.53% to 23.74 euros) ended up at the bottom of the CAC 40 index, penalized by its cyclical nature following four rising sessions.
