The Paris stock market is now down 1.9% at the start of the afternoon, around 7390 points, penalized by the heavy decline of Alstom, which is down almost 12% behind LVMH (-4%). The S&P500 and Dow Jones began the session down by around 0.4%

"A period of doubt often follows end-of-year euphoria", analyzed Christopher Dembik, Investment Strategy Advisor at Pictet AM, this morning.

Professionals point out that the period of doubt that assails the world's stock markets at the start of the year is never likely to last too long.

Christopher Dembik reminds us: "It is likely that we will have more visibility on the trajectory of the economy and markets by the end of the month".

"While there is nothing surprising in seeing a pause after the rapid rise of most risky assets over the last two months of 2023, we believe that the outlook for bonds and, above all, equities, is promising for 2024 as a whole".

Many strategists say they expect the S&P 500, the benchmark index for US managers, to reach the 5,000-point mark this year, representing a theoretical rise of around 5%.

With regard to Europe, analysts point to the low valuation of Old World equities and a very marked discount to US markets, which they believe is set to narrow.

According to the economists at Swiss Life Asset Managers, global stock markets offer a realistic potential return of 3% to 7% (total return) in 2024, given the prospects for earnings growth.

This morning, the markets took note of a rise in the number of jobseekers in Germany. The number of jobseekers rose by 31,000 in December compared with the previous month, to 2,637,000, or 5.7% of the working population (+0.1 points), according to the monthly report from the Federal Employment Agency.

On the bond front, the 10-year German Bund rate, the benchmark for European risk-free rates, fell by 3.1pts to 2.1%, after a year-end "rally" described as "out of the ordinary".

The yield on 10-year US Treasuries also tightened, to around 3.95%, after falling steadily for more than two months.

On the currency markets, the euro rebounded unconvincingly, hovering around $1.0920, with traders believing that sluggish growth, falling inflation and the prospect of monetary easing augur a weak single currency this year.

In French company news, Kering lost almost 4% and thus underperformed the trend in Paris, with unfavorable comments from Stifel which, while maintaining its 'hold' recommendation, lowered its price target from 430 to 420 euros on the Gucci parent company's shares.

Renault claims to have outperformed the French automotive market in 2023, and to be the leader in PC + LCV (passenger cars and light commercial vehicles) sales, with 390,484 registrations, up 16%.

Thales announced on Wednesday the signing of a contract for the delivery of new-generation medium-range ground radars for the Lithuanian land forces.

While maintaining its 'neutral' position on Pernod Ricard, UBS has lowered its price target from 167 to 163 euros, a new target that leaves only 5% upside potential for the French spirits group's shares.

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