Paris (AFP)

The Paris Stock Exchange ended in sharp decline Thursday (-2.12%), ending three consecutive days of increase, under the influence of figures on American unemployment, statements by the European Central Bank (ECB) but also profit taking before a long weekend.

The CAC 40 index lost 98.93 points to 4,572.18 points. The day before, it had finished up 2.22%.

The fall in the market is explained "mainly by the figures on American unemployment" and the opening at half mast of Wall Street, Michaël Jacoby, head of continental Europe brokerage at Oddo Securities, told AFP.

According to figures released Thursday by the Labor Department, the United States registered 3.8 million new unemployed registrants over a week.

In total, with massive containment measures to stem the spread of the virus that have put economic activity on hold, more than 30 million people have registered as unemployed since mid-March.

Besides that, "there is also the ECB conference that could leave the markets hungry," said Alexandre Baradez, analyst at IG France, interviewed by AFP.

According to him, "the market expected perhaps more relief in the statements of Christine Lagarde", the president of the monetary institution.

Faced with the economic cataclysm unleashed by the coronavirus pandemic, the European Central Bank said it was "ready" on Thursday to strengthen its emergency program and extend it beyond the end of 2020, after its series of exceptional measures taken since March.

"The market probably expected more from the ECB, more concrete and quantified measures in the short term, which was not the case," said Mr. Baradez.

"After a few days of upturn and anticipation of ECB decisions and support from central banks", investors are "rather in the mood for profit taking before the long weekend," added Mr. Jacoby.

Confidence since Monday in the support of central banks, the determination displayed by the Fed or the announcement of encouraging results by biotech Gilead Sciences against the pandemic had largely fueled optimism in the markets in recent days.

As for indicators, the agenda was very full. In China, manufacturing activity subsided in April after a surprise rebound the previous month.

France's GDP contracted 5.8% in the first quarter due to containment and that of the eurozone fell 3.8% in the first quarter, its largest decline since the creation of the single currency in 1999.

- Societe Generale dives -

Societe Generale plunged 8.62% to 14.26 euros. The bank announced a loss of 326 million euros, weighed down by its corporate and investment bank and provisions of more than 550 million euros to deal with the coronavirus and "two exceptional cases of fraud".

The rest of the sector also suffered: Crédit Agricole fell 5.99% to 7.28 euros and BNP Paribas 6.60% to 28.68 euros.

Orange fell 0.58% to 11.14 euros, despite a turnover increase of 1% in the first quarter.

Suez dropped 2.55% to 10.32 euros. The group posted stable sales in the first quarter despite the crisis.

© 2020 AFP