Paris (AFP)
The Paris Bourse continued to advance on Monday, gaining 2.08% at mid-session and experiencing a rebound after a week marked by health uncertainties.
At 12.55 p.m. (10.55 a.m. GMT), the CAC 40 index rose from 98.58 points to 4,828.24 points.
All values were moving in the green.
This sharp increase was general across Europe, with Frankfurt gaining 2.73% and London 1.54%.
After significant losses last week, in particular -5% for the CAC 40, the indices are carried by the good performance of Wall Street on Friday and by positive industrial indicators from China.
US markets futures were trading largely in positive territory before Wall Street opened.
This strong rebound reinforces the hypothesis that the index depression in September was caused more by "post-summer profit taking", than "deeper fears of prolonged economic stagnation", due to the rise in Covid-19 contaminations, estimates Neil Wilson, markets.com analyst.
But the clouds have not evaporated and European markets are still moving below their summer level.
"This morning's equity rally will likely be short-lived as investors face more uncertainty and volatility due to this week's busy schedule," warns Pierre Veyret, technical analyst at ActivTrades.
Indeed, questions remain, whether on the negotiations between the United Kingdom and the European Union on Brexit, or the American presidential election.
The latter will enter a new phase on Tuesday, with the first debate between Donald Trump and Joe Biden.
The US employment report will also be eagerly awaited on Friday.
SIEMENS INTRODUCES ITS ENERGY DIVISION ON THE STOCK EXCHANGE
The German conglomerate Siemens shed its energy division on Monday, which it floated on the Frankfurt Stock Exchange.
The shares of Siemens Energy, which brings together the construction of turbines, but also gas, oil, wind and power transmission, traded around 22 euros at the start of the session, valuing the group at 16 billion d euros, slightly below analysts' forecasts.
ARCELORMITTAL BONDIT AFTER THE SALE OF ITS AMERICAN ACTIVITIES
The steel giant ArcelorMittal announced Monday that it would sell its US operations for $ 1.4 billion to Cleveland-Cliffs.
Side on the CAC 40, the title climbed 9.41% to 11.28 euros.
BANKS REBOUND
Cyclical stocks, the most sensitive to the economy and the most in decline last week, benefited the most from the rebound.
This is the case of banks, some of which had hit a historic low on Friday.
In London, HSBC gained 8.95% to 308.70 pence.
In France, Crédit Agricole took 4.60% to 7.49 euros, Société Générale 4.07% to 11.35 euros and BNP Paribas 3.52% to 31.31 euros.
© 2020 AFP