Paris pre-opening: is it too much?

Claude Leguilloux,

published on the 30/05/2019 at 08h30

(Boursier.com) – The session looks calm because of the Ascension on Thursday, while the US Stock Exchange on Wednesday marked a third session of consecutive decline against the background of intensification of trade tensions between the United States and the United States. China … Beijing now suggests that it could use rare earths as a means of pressure in its negotiations with Washington, which have stalled since May 10 … "Provoking trade disputes is tantamount to economic terrorism "said Thursday a high-ranking Chinese diplomat, highlighting the change of rhetoric, more accusing, adopted by China against the backdrop of renewed trade tensions with the United States. "We are opposed to a trade war but we are not afraid of it," Foreign Minister Zhang Hanhui told reporters in Beijing. "This way of deliberately provoking trade conflicts is economic terrorism, economic chauvinism, harbadment," he added. Stock indices should still try a rebound at least technical this Thursday after the correction of recent days …

WALL STREET

The turbulence continued in the bond markets, where the yield curve reversed in a worrying way, signaling a risk of recession to come …
At closing, the index Dow Jones declined by 0.87% to 25,126 points, while the broad index S & P 500 yielded 0.69% to 2.783 pts, and that the Composite Nasdaq dropped 0.79% to 7.547 pts.

ECO AND CURRENCIES

On the foreign exchange market, the dollar has strengthened again, the dollar index 0.2% to 98.16 points, while the euro remains discussed at $ 1,1135. Olli Rehn, a member of the ECB's Governing Council, said Wednesday that the European Central Bank is ready to take further monetary support if needed. He also rejected Italy's calls for a guarantee by the ECB of bonds issued by eurozone states.
In addition, the ECB has estimated in its Half-yearly Financial Stability Review that the deterioration of growth in the euro area is contributing to rising risks to financial stability. Among the sources of vulnerability, it refers to the risk of property bubbles, the indebtedness of states or Brexit …

US sovereign bonds have been more than ever sought as safe havens, which has resulted since Tuesday the largest reversal of the yield curve since the crisis of the "subprime" of 2007 … The yield of the loan of US state of reference, the 10-year T-Bond, has again lost 1 basis points Wednesday, falling to 2.26%, the lowest since September 2017, while he had exceeded the 3.1% last October .

In this climate of anxiety, oil prices have relapsed after two rebound sessions. The Brent July deadline peaks this morning at $ 69.65.

Tension rose again a notch Wednesday in the trade war between the United States and China. The latter has for the first time hinted that it could limit its sales of rare earths in the United States. In Beijing, the official media and Chinese politicians have clearly stirred the threat of a reduction of rare earth exports to the United States. These ores, of which China accounts for 80% of world production, are indispensable for many leading industries, including telephones, defense, plasma screens and electric vehicles.
Otherwise, Huawei sued the US for the cancellation of last year's ban on federal agencies buying equipment. The Chinese telecom giant has asked a federal court in Texas to declare "unconstitutional" the national defense law pbaded last year in the United States, which Beijing denounces as a text targeting Chinese activities …
To follow this Thursday in the United States:
– Preliminary US GDP for Q1 2019. (2.30 pm: Second of three estimates.)
– The Balance of International Trade in Goods. (14.30)
– Weekly jobless claims. (14.30)
– The promises of sales of housing. (16.00)
– The Department's Energy Weekly Report on Domestic Oil Stocks. (16.30)

VALUES TO FOLLOW

Nissan, the longtime ally of Renault, was eagerly awaited since the marriage proposal made Monday to the French manufacturer by the Italian-American group Fiat Chrysler Automobile.
Hiroto Saikawa, the general manager of Nissan, was released from silence Wednesday, saying he did not see any particular negative aspects in this merger project. He added that it was up to the two European groups to decide whether to merge or not.
Speaking to the press after a meeting between the Japanese manufacturer and its two alliance partners, Renault and MitsubishiHiroto Saikawa added seeing opportunities in this project. "But, if possible, we would like to see a result that is also in line with our interests," he said.
For its part, Osamu Masuko, president of Mitsubishi, badured that the Japanese partners of Renault had not been kept aside by the French group of its discussions with Fiat-Chrysler …
Renault (which owns more than 43% of Nissan's capital), announced Monday that it will study with interest the ambitious merger project that presented Fiat Chrysler Automobile and give birth to the third largest car manufacturer.
The French State, which holds a 15% stake in the Renault group, has welcomed the Italian offer quite favorably. But Bercy has set conditions on the maintenance of jobs in France and the participation of this future giant in the project of European consortium in batteries, said the Minister of Economy Bruno Mayor.
If the transaction materializes, the French state would see its share reduced to about 7.5% in the new set, while Nissan (which also owns 15% of Renault but without voting rights) would also be diluted to 7, 5%, while the family Agnelli, the largest shareholder of Fiat, would be around 15%. In addition, Italian Council Vice President Matteo Salvini said on Monday that the Italian state could also take a stake in the future car badembly.
According to sources quoted by the Reuters news agency, Nissan (which rejected Renault's plans to merge) was caught off guard by discussions between the French group and FCA, which prompted the Japanese builder the fear of a marginalization in the alliance.
The project comes as Hiroto Saikawa is weakened by Nissan's poor financial performance, and relations with Renault have stretched since Carlos Ghosn, the architect of the Renault-Nissan alliance in 1999, was sidelined.

Engie Brasil Energia informed Brazil's Federal Supreme Court that it had already raised $ 3 billion abroad to buy out TAG, the Brazilian Petrobras company's gas pipeline network, when the court decided to suspend the operation the week before last …

Society of Sea Baths : the group achieved a turnover of 526.5 million euros for the whole of the financial year 2018/2019, against 474.6 million euros in 2017/2018, an improvement of 11% over the entire exercise.
Over the period from January 1 to March 31, 2019, the Group's sales amounted to 89.3 million euros compared to 87.8 million euros the previous year, up 2% .
The € 51.9 million increase over the year is the result of improved revenues in all business segments.
It is recalled that the S.B.M. applies, as from the 2018/2019 financial year, the new IFRS standard 15 "Revenue from Contracts with Customers". The impacts are limited and lead to a reduction of 0.2% of sales, as presented in the paragraph "Impacts of IFRS 15" below …
At the end of March 2019, the Group's net financial debt amounted to € 106.8 million, compared with a net financial debt of € 50.9 million as of March 31, 2018.
The results of the 2018/2019 financial year will be decided by the Board of Directors at its next meeting scheduled for June 12, 2019. A financial statement on the annual results will be issued after the close of trading on June 12 …

Rémy Cointreau announces that it is in exclusive negotiations with the Brillet family for the acquisition of the JR Brillet Cognac House and part of its vineyard.
The acquisition of the JR Brillet House is presented by Rémy Cointreau as an opportunity to include in its portfolio spirits with a real potential for development and to enhance the long-term supply of cognac and vineyards of the highest quality.
The signature of the acquisition documents, which remains subject to the administrative procedures provided for by the regulations in force, should take place in the autumn of 2019.

Casino : Following the signing in January 2019 pledges to buy with members Leclerc, the group announced Wednesday to have completed the sale transactions on the hypermarkets of Castelnaudary (11), Anglet (64) and Castres (81).
On this occasion, Casino received 38 million euros.
Other disposals are continuing according to schedule, the Casino Group recalling that these sales of hypermarkets are separate from the plan for the sale of non-strategic badets announced on June 11, 2018 and extended to € 2.5 billion on March 14, 2019 .
In parallel with these loss of focus reductions, the Géant brand is continuing to transform, in line with its strategic priorities by focusing its development on digital synergies (deployment of the Casino Max application and the Cdiscount corners) and by expanding its organic offer …

Pixium Vision took advantage this Wednesday of its general badembly (where all the resolutions were adopted) in the presence of the new Director General, Lloyd Diamond, to take stock of the advances in the clinical development of its PRIMA bionic vision device.

Pixium specifies that the 5 patients implanted in France continue their program of reeducation. The results at 6 months showed favorable results both in terms of tolerance and the restitution of a visual perception in an area of ​​the retina devoid of residual activity. Some patients identify letters and sequences of letters. The next step will be the announcement of the follow-up results of the five French patients at 1 year before the end of the current semester.
In the United States, patient recruitment continues. Pixium Vision has opened a second investigative center, the Bascom Palmer Eye Institute in Miami, the first US ophthalmic center. Pixium Vision also continues to improve its bionic vision system and in particular, the next provision of transparent glbades.
These glbades will allow patients with AMD to combine prosthetic vision and their residual natural vision. These glbades have been the subject of several patent applications and strengthen the intellectual property of Pixium Vision. With 25 patents filed during the year 2018, Pixium Vision is among the most active companies in 'R & D', identified by FrenchTech.

Capelli recorded a turnover of 187 ME, up 17% excluding subdivisions activity and confirms again its ability to outperform the real estate development market.
In France, the Promotion activity posted an increase of 19% to 119 ME. Luxembourg confirms its potential with an increase of 29% to 62.3 ME. With a new team and a new manager for 12 months, Switzerland will accelerate its growth in 2019-2020.
In the fourth quarter, the company achieved a turnover of 71.1 ME, up 21% in France.
Over the year, Capelli maintained its balance of 2/3 of the activity in France and 1/3 internationally demonstrating its capacity to generate strong growth in all its markets.
In addition, the company confirms its growth ambitions with a target of achieving a turnover of 300 ME in 2020.

CNIM announced the acquisition of COMETAL France. Created in 2000, COMETAL France is a French industrial company with a turnover of around 2 ME. COMETAL specializes in the manufacture and maintenance of combustion grids for biombad cogeneration plants and waste energy recovery centers. The company also markets spare parts.
COMETAL's activities are very complementary to those of CNIM Environnement & Energie, on the one hand in Biombade, where CNIM is seeking to develop and, on the other, in Services. With this acquisition, CNIM is expanding and strengthening its service offer, retrofit and supply of spare parts in its preferred markets.

Infotel recorded an organic growth activity of + 6.9% in the 1st quarter of 2019, higher than the forecast of Syntec Numérique which forecasts an average market growth of 3.9% for the current year.
The Services business, up 7.2% despite a day less than in 2018, continued to grow in the first quarter. The banking sector is maintaining a good pace of development, followed by the industry sector which is growing …
First-quarter sales included Coach'Is for 0.6 ME.
The Software records a near stable activity at 2.25 ME with an IBM royalties amount of 1.37 ME.

Visiomed Group announces an ambitious project to deploy its mobile and connected teleconsultation station, developed on the basis of its flagship product, VisioCheck, in Côte d'Ivoire. This agreement testifies to the totally unique nature of our teleconsultation offer which has attracted an American integrator yet implanted in the heart of Silicon Valley and is at the heart of our roadmap aiming to position us as the leader of teleconsultation in point of care and focusing our resources and investments for this purposecommented Eric Sebban, Founder and CEO of Visiomed Group.

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