Investors have regained their optimism and the month of August kicks off on the Paris Stock Exchange. The CAC 40 index gained 0.72% on Tuesday (3/8) and closed at 6,723.81 points, a level unknown since September 2000. The day before, it had broken its record for the year and is only a few cables away. of the historic high of 6922 points, reached on September 4, 2000, before the bursting of the internet bubble. The European STOXX 600 index hit a new all-time high on Tuesday.
The CAC 40 is driven by the good quarterly results of large French companies, exceeding expectations. Tuesday (3/8), Société Générale (+ 6.37%) and Stellantis (+ 4.10%) drove the growth of the index. “The limited presence of stocks exposed to China or to the global economy has played in favor of the CAC 40 index”, points out Pierre Bismuth, Managing Director of Myria AM. Paris has done well on the Old Continent, where the majority of the big places have slowed down a little. On Wall Street at mid-session, the Dow Jones gained 0.5%.
Towards a seven-month rise in a row?
Should we expect a seventh consecutive month of increases for the world stock markets? It’s hard to say. Concerns about the spread of the Delta variant, which could threaten economic recovery, are resurfacing. Especially since it is now spreading in China, creating an epidemic rebound now affecting dozens of cities. “Investors must face weaker than expected economic data, while the Delta variant threatens nations with a new industrial impact” said Pierre Veyret, analyst at ActivTrades. Investors are also worried that further regulatory tightening will affect the video game industry in the Middle Kingdom, after a turn of the screw last week against private education and meal delivery. This situation weighs on technology stocks. Far from these considerations, the CAC 40 has gained 21% since the start of the year.