Paris (AFP)

The Paris Bourse on Monday regained the ground it had lost on Friday, rising 0.82% at midday, driven by growth prospects while the tension on US rates remains strong.

At 11:25 GMT, the Paris index advanced 47.57 points to 5,830.22 points, thus completely erasing its decline on Friday (-0.82%).

"Investors remain generally confident about the medium-term outlook," notes Pierre Veyret, analyst at ActivTrades.

The market expects a strong acceleration in growth in the second half of the year, particularly in the United States where President Joe Biden finally managed to get the Senate to vote on Saturday for his gigantic $ 1.9 trillion stimulus plan.

But at the same time, this reinforces concerns about inflation and the tensions that have become recurrent in the bond market.

Concretely, investors fear that with the restart of the economy and the acceleration of vaccinations, the central banks will end faster than expected the monetary easing measures that have supported the markets for months.

In addition, "the new rise in the price of oil is another source of tension for rates. The market will remain attentive to the reaction of central banks," said Sebastian Paris Horvitz, analyst at LBPAM.

The European Central Bank (ECB) is therefore expected at the turning point on Thursday, because even if they remain at very low levels, bond interest rates have also tightened in the euro zone.

"The semantics of (ECB President) Christine Lagarde's speech will be carefully scrutinized in the hope of getting more clues as to what the central bank's next move will be," said Veyret.

On the health front, some restrictions will be lifted Monday in Great Britain or Germany, and California is preparing to do the same next month.

Statistically, the recovery in China is confirmed with a record increase in its exports in January-February thanks in particular to the need for products against the Covid.

German industrial production, on the other hand, fell in January compared to December, contrary to expectations, and was more than 4% below its level before the Covid-19 pandemic.

The rotation in favor of the sectors that stand to benefit the most from the rebounding economies continued in the market, giving financials an advantage.

Advantageous financials

Societe Generale took 3.45% to 22.07 euros, BNP Paribas (+ 2.60% to 52.93 euros) and Crédit Agricole (+ 2.78% to 12.56 euros).

The aerial on a small cloud

The shares Airbus (+ 2.28% to 97.60 euros) and Safran (+ 2.69% to 122.30 euros) remained sought after after Washington and Brussels agreed on Friday to suspend rights for four months customs duties imposed in the context of a dispute between the European aircraft manufacturer Airbus and its American rival Boeing.

Air-France KLM rose 1.66% to 5.27 euros.

The automobile on the right track

Stellantis (+ 3.65% to 14.18 euros) and Renault (+ 2.28% to 39.43 euros) kept pace.

The equipment manufacturers Valeo and Faurecia respectively arrogated 3.61% to 30.74 euros and 4.96% to 47.15 euros.

© 2021 AFP