Paris (AFP)

The Paris Stock Exchange rose 2.41% on Tuesday, enthusiastic about the prospects for economic recovery and the hope of a lesser impact from the Covid-19 pandemic.

The CAC 40 index gained 118.4 points to 5,027.99 points in a trading volume much more sustained than the last few days, to 3.4 billion euros. The day before, it had advanced 0.41%.

The Parisian odds quickly climbed to reach 5,040 points at the end of the morning and remain there for a good part of the afternoon, before reducing their gains as the closing approached.

Among the trends that have energized the market, "the optimism linked to the prospect of an agreement between Democrats and Republicans", on the economic recovery plan which has shaken American political life since the end of July, estimates from AFP Daniel Larrouturou, equity manager at Dôm Finance.

Faced with the blockage that prevented the maintenance of federal state aid to people and businesses affected by the economic consequences of the pandemic, US President Donald Trump on Saturday signed four decrees with support measures for the unemployed, precarious tenants or students.

Another positive data across the Atlantic, "the epidemic seems to be slowing down in the United States", notes Mr. Larrouturou, after the sharp increases in new contaminations in recent weeks.

Investors also learned during the meeting of Russian President Vladimir Putin's announcement regarding the development of a vaccine against Covid-19 by Russia, whose industrial production will be launched in September.

The announcement comes even as the trials of this vaccine are not complete and their phase 3, with thousands of subjects, does not begin until Wednesday.

The World Health Organization soon recalled the need for "rigorous" procedures.

"We must not take the news at face value" but it "puts forward the hope of a rapid treatment that would relieve the health crisis" and therefore its consequences on the economy, underlines Mr. Larrouturou.

In terms of values, almost all of the ACC is adorned with green. Banks and insurance companies have gone up the slope a bit, with increases of 4.85% to 9.03 euros for Crédit Agricole, 4.68% to 37.49 euros for BNP, 3.69% to 14.21 euros for Société Générale and 2.80% to 17.83 euros for Axa.

Conversely, Wordline ended down 0.53% to 71.18 euros, running out of steam in the wake of the Nasdaq, the US index with strong technological coloring.

"Technological stocks are those which had the best performance during the crisis," recalls Mr. Larrouturou, Wordline having even reached its all-time high on July 7.

This slowdown has affected other stocks that have withstood the crisis well, such as L'Oréal, which only gained 0.43% to 277.20 euros.

© 2020 AFP