The Paris Bourse fell again into the red (-0.80%) Thursday, the day after an annual record, still monitoring the number of new coronavirus contaminations and the economic consequences of the epidemic.
The CAC 40 index fell 48.9 points to 6,062.30 points, in a trade volume fed by 4 billion euros. The day before, it had finished up 0.90%.
“The common thread on the markets for several weeks remains the coronavirus epidemic,” commented to AFP Emmanuel Auboyneau, managing partner at Amplegest.
Still, “for the past few days, despite fears linked to this virus, the markets are still relatively firm” because “it seems that there has rather been a deceleration in the number of contaminations in China,” he added.
The National Commission (Ministry) of Health reported an additional 114 deaths in China in 24 hours, bringing the total number of deaths nationwide (excluding Hong Kong and Macao) to 2,118. But above all it announced a number of new contaminations (394) in sharp decline.
However, “the impact on the turnover of a number of companies in China is very significant,” noted Mr. Auboyneau.
The current epidemic could thus lead to a shortfall of $ 27.8 billion for airlines, including $ 12.8 billion in the Chinese domestic market alone, the International Air Transport Association (Iata) estimated on Thursday.
“What keeps the markets at the same time is that from the moment this virus broke out, the central banks became even more accommodating, especially the Chinese central bank,” he said.
Beijing has announced a drop of one tenth of a point from one of its benchmark interest rates.
In terms of indicators, the morale of German consumers should however decrease slightly in March because of the coronavirus, according to the GfK barometer published Thursday. In France, inflation remained stable in January at 1.5% over one year.
In the United States, the growth of manufacturing activity in the Philadelphia region accelerated sharply in February, according to the local Fed index.
– Schneider at the head of SBF 120 –
In the field of securities, Eramet plunged 13.67% to 32.59 euros, penalized by the publication of a net loss of 184 million euros in 2019 and the prospects that look to be further complicated.
CNP Assurances fell 5.94% to 16.15 euros despite a robust increase in its 2019 profit when the group is preparing to join the fold of La Banque Postale.
Axa lost 3.47% to 24.49 euros, weighted by a net profit below expectations even if it jumped 80% in 2019.
Air-France-KLM suffered (-3.49% to 9.39 euros) from a net profit down 31% for 2019, weighed down by fuel and air freight. The group is entering 2020 with the threat of the coronavirus, the impact of which is estimated by April between 150 and 200 million euros.
ADP sold 1.48% to 166.50 euros. The group signed an agreement to buy, for an amount of 1.36 billion euros, a 49% stake in the Indian group GMR Airports which has in its portfolio seven airports located in India, the Philippines and Greece.
Bouygues garnered 4.57% to 41.20 euros, driven by results above expectations despite a decline in net profit in 2019.