Paris (AFP)

The Paris Bourse ended slightly up Thursday, reassured, at least partially, by the announcements of the European Central Bank to stimulate the economy in decline and hope for progress in Sino-US trade negotiations.

The CAC 40 index gained 24.80 points to 5.642.86 points, in a trade volume fed of 4.33 billion euros. The day before, he had also closed on the same small jump of 0.44%.

The Paris rating has started rising before being volatile as the detailed reading of the measures announced by the ECB.

"Investors realize that what the ECB is doing will not be enough in a way to improve the business", especially as the boss of the institution Mario Draghi was clear on the weakening of the economy and the need for countries with budgetary margins to work in parallel to revive the economy, commented for AFP Cédric Besson, manager at Gaspal Gestion.

"Mr Draghi took note of the economic slowdown" and this, "without integrating a Brexit is going wrong", ie an exit from the European Union without agreement from the United Kingdom, said the expert.

The ECB lowered its "deposit" rate for the first time since March 2016 from -0.40% to -0.50%, an expected measure to encourage banks to lend to businesses and households.

Another positive point, "the money returns to the economy": the ECB has relaunched "no expiration date" its extensive program of asset purchases, called "Quantitative Easing" or "QE", until it will have to raise its rates, adds Mr. Besson.

The ECB has announced a resumption of these buybacks of public and private debt, at a rate of 20 billion euros per month from 1 November and "as long as necessary".

"But the market was waiting a little more to help the banking sector suffering for several years," said Mr. Besson.

However, he admits, "the Central Bank has still made a gesture towards the banks", by adopting a tiered rate system to reduce the interest burden on them, and by changing the terms of the loans granted giant financial institutions from 19 September.

Moreover, "the market is also said that it is going in the right direction" on the commercial side between China and the United States, says the specialist.

The Trump administration wants "substantial progress" in the upcoming trade talks with China, said Thursday US Treasury Secretary Steven Mnuchin the day after the announcement in Beijing and Washington of a break in the tariff war.

- The oil sector at half mast -

Regardless of the ECB, the oil sector was suffering from lower oil prices in a context of supply concerns. Total lost 1.20% to 46.58 euros.

The financial sector also showed little enthusiasm, still falling under the weight of negative rates: Societe Generale fell 0.41% to 25.56 euros, BNP Paribas sold 0.15% to 44.24 euros. Axa fell 0.13% to 22.43 euros.

Alstom fell 4.90% to 37.45 euros after Bouygues (+ 0.03% to 35.01 euros) announced the sale of a 13% stake in the railway group for 1.079 billion euros .

Accor was penalized (-2.93% to 38.38 euros) by a lowering of its recommendation by JPMorgan.

© 2019 AFP