The Paris Stock Exchange closes at its highest for almost two months

The Paris Stock Exchange closed up 0.65% on Friday, the highest in nearly two months, showing its confidence before a decisive week rich in corporate results.

The flagship CAC 40 index rose 47.86 points to 7,432.77 points, landing at its highest closing level since May 23. Over the week, the index gained 0.79%.

“The 7,400 points are a pivot point”, on which the Parisian index has stumbled several times in recent weeks, explains Frédéric Rozier, portfolio manager of Mirabaud France.

“Crossing this closing zone signals a resumption of the uptrend,” he continued.

Cheap values ​​were sought during the session, values ​​without which “this crossing cannot be done”, specifies Frédéric Rozier.

Next week, investors’ attention will be on the many company results, with more than half of the CAC 40 companies.

On the agenda, the publications of the American technological giants are particularly expected and “given their weight, they will be dominant”, adds Frédéric Rozier.

In addition, the markets are expecting a further increase in the key rate of the American Federal Reserve (Fed) on Wednesday and that of the European Central Bank (ECB) on Thursday.

Tech stocks still down

STMicroelectronics dropped 1.11% to 45.71 euros, Cap Gemini 1.19% to 174.20 euros, Dassault Systèmes 0.61% to 40.45 euros, these three companies also being in the red throughout the week, marked by disappointments in the results of American companies linked to the sector, such as Netflix, or Tesla.

Thales dropped 4.78% to 133.50 euros after having nevertheless announced a net profit up 15% in the first half and a slight upward revision of one of its annual financial objectives. The company marks the largest loss of the session on the flagship index.

In aeronautics, Dassault Aviation also fell by 8.53% to 166.30 euros after its results for the first half, a period during which the company recorded ten times fewer orders than during the same period in 2022.

Sartorius delights investors

Sartorius Stedim Biotech (SSB), a supplier of materials for the biopharmaceutical sector, certainly recorded a drop in its activity and its profitability in the first half of 2023 due to “temporarily weak demand” but assured that demand should, according to him, “gradually pick up again in the second half of 2023. The share price soared 14.53% to 272 euros, but it remains down 10.08% since the January 1.

Safran file Collins Aerospace

Safran wants to acquire the “flight controls” activity of the American company Collins Aerospace for an enterprise value of 1.8 billion dollars, the French engine manufacturer and aeronautical equipment manufacturer announced on Friday. Its action climbed 0.18% to 141.72 euros.

Well-oriented luxury

The luxury giants, heavyweights of the Parisian index, closed higher. Hermès gained 1.88% to 1,915 euros, LVMH 1.63% to 867.90 euros. Close to luxury values, L’Oréal jumped 2.53% to 411.15 euros, recording the largest increase in the CAC 40.

Only Kering finished without a gain (-0.02%) at 541.30 euros, but the group is the only one of these four companies to post a gain over the week. It is even the best weekly performance of the CAC 40, with in particular an announced change at the head of its flagship brand Gucci and the arrival in its capital of the activist investment fund Bluebell.