The Paris Bourse was heading towards an opening down Wednesday morning, the temporary easing on the Sino-US trade front was not enough to reassure investors also concerned about the disturbing signals emanating from the bond market and macroeconomics.
The futures contract on the CAC 40 lost 0.27% forty minutes before the opening of the session. The day before, it ended up 0.67% at 5,387.09 points.
Wall Street has ended down.
"The European session (of Wednesday) should be characterized by an opening down with financial stocks particularly likely to suffer given the fall in bond yields at night," said Michael Hewson, a CMC analyst Markets.
"The events of last Friday seem to have seriously damaged investor appetite for risk," he added.
But "it is not difficult to understand (their) reluctance in this regard, the frequent interventions of President Trump on Twitter largely contributing to undermine confidence in the reliability of the US position on trade," he said.
After being reciprocally burdened with tariffs and reproaches on Friday, China and the United States resumed Monday the path of negotiation, a lull which is however far from having fully convinced the markets, Wall Street having returned to the decline on Tuesday.
Moreover, Wednesday should be a crucial day for the political future of Italy: the 5 Stars Movement and the Democratic Party manage to unite in a new government, the President will announce the holding of elections .
On the indicator side, German consumer sentiment is expected to stabilize in September after three months of decline, as the country could enter recession in the third quarter, according to the GfK barometer released on Wednesday.
Consumer and business confidence for the month of August is also expected in Italy while the ECB is expected to publish the evolution of credit to the private sector and the M3 money supply in the euro zone.
On the other side of the Atlantic, the market will see the report on oil stocks.
VALUES TO FOLLOW
Vivendi: the summary hearing to arbitrate the dispute between Vivendi and Mediaset over the voting rights of the French giant at the next general meeting of shareholders of the Italian group was scheduled for Thursday in Milan we learned Tuesday from a source close to the file.
jra / st / spi