Posted January 17, 2023, 9:21 amUpdated January 17, 2023 at 9:58am
The Paris Stock Exchange is changing on Tuesday morning with no real trend. The slowdown in Chinese growth is certainly not a surprise, but it does raise questions, even if expectations of a recovery in the world’s second largest economy remain high.
Just before 10:00, the Bedroom 40 it remained practically stable at 7,033.17 points (-0.014%) on a turnover of 340 million euro.
China’s GDP growth slowed to 2.9% year-on-year in the fourth quarter, from 3.9% in the third, according to data released by the National Bureau of Statistics. If it is higher than expected, this figure still bears the traces of the zero-Covid policy. Over the last year, growth has stood at 3%, the second worst performance since 1976, and far from the official target of around 5.5% set by the authorities.
Goldman Sachs and UBS positive on China
However, a stronger-than-expected 1.3% year-on-year increase in industrial production last month and a less-than-expected 1.8% contraction in retail sales raise hopes for an economic recovery . In Hong Kong, the Hang Seng Index fell 0.8% on Tuesday while China’s CIS closed on a stable note.
Goldman Sachs and UBS are among the most positive on the outlook for China, as the recovery in activity should free up excess savings built up during lockdowns and ease fears of a global recession as central banks continue to tighten their monetary policy .
In contrast, the Nikkei 225 rebounded by 1.2% on the eve of the Bank of Japan’s monetary decision, which could adjust its grip on the yield curve as the Japanese 10-year yield climbs. the central bank for the third consecutive day.
STMicroelectronics powered by a note from Barclays
Investors should also focus on corporate publications featuring results from Goldman Sachs, Morgan Stanley and United Airlines. At the macroeconomic level, the Federal Statistical Office confirmed in December the 9.6% one-year increase in inflation in Germany. Next, the ZEW index of economic sentiment perceived by German analysts and investors for the month of January. In the US, the New York Fed will unveil its Empire Manufacturing Activity Index for January this afternoon.
Renault it is stable. The group announced a 9.4% decline in global sales of cars and vans last year, while managing to boost sales of electric vehicles in Europe. In addition, Nissan’s independent directors have agreed to review the alliance with the French manufacturer, according to a source familiar with the discussions cited by Bloomberg. Therefore, negotiations are underway to reduce Renault’s stake in Nissan, while the latter will invest in Ampere, the entity that groups Renault’s electric vehicles.
STMicroelectronics appreciated by 1.6%. Barclays has begun tracking the “overweight” semiconductor maker to aim for 60 euros.
ADP extension salt by 1.5%. The group announced that it welcomed 280.4 million passengers last year across its airport network, which is a traffic recovery rate compared to 2019 in line with its forecasts, equal to 80.9%.
In reverse, Engie it fell by 3.9%, thus sealing the largest drop in the Cac 40.