The Paris Stock Exchange, still in the cloud, reaches 0.48%

The Paris Stock Exchange closed 0.48% on Wednesday and remained over the moon about the possibility of a vaccine against Covid-19 almost a year after the virus appeared.

The flagship CAC 40 index hit 26.24 points to 5,445.21 points in the wake of a start to the week on the wheel hats, boosted by pharmaceutical groups Pfizer and BioNTech’s announcement of a potential vaccine “effective 90%” according to the preliminary results of an ongoing trial.

“Optimism about a possible vaccine is still raging,” said David Madden, analyst at CMC Markets UK, explaining the rise in nearly all European markets on Wednesday.

In an ‘optimistic’ scenario, the European Union could start vaccinations against Covid-19 in the first quarter of 2021, the director of the European Center for Disease Control (ECDC), Andrea Ammon, said in an interview with the AFP on Wednesday.

Between the euphoria surrounding the future of the pandemic and the US presidential election a week earlier, the Paris index has risen by more than 18% since the beginning of November.

It is evolving at the level of early March, when a panic movement linked to the outbreak of the pandemic caused global stock markets to collapse. The index is climbing the slope, but it is far from returning to 6,000 points, the level of February.

Wall Street was up mid-session around 16:50 GMT, the Dow Jones was up 0.28%, the Nasdaq 1.61% and the S&P 500 0.80%.

The surge in Paris this week came in parallel with a sectoral rotation of investments: brokers have given up technology stocks to return to companies more dependent on economic activity.

However, they suffered a bit on Wednesday from the effects of profit-taking, particularly in the banking and real estate sectors.

Unibail-Rodamco-Westfield lost 6.28% to 48.47 euros, the red lantern of the CAC 40 after a 50% gain since Monday.

The movement also had consequences for the banks: Societe Generale lost 3.69% to € 15.60, Crédit Agricole 1.04% to 8.76 euros and BNP Paribas 2.63% to 41.09 euros.

French railway manufacturer Alstom on Tuesday reported net profit of 25% for the first half of its fiscal year 2020/21 shifted to 170 million euros, but now sees “a solid commercial pipeline for the second half”. The title fell by 4.44% to 42.62 euros.

Euronext CAC40

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