The Paris stock market is now down nearly -1%, swinging either side of 7,630Pts, erasing the previous day's gains.
The CAC40 is clearly penalized by Airbus: the European aircraft manufacturer is down more than 11% (towards 130E) following the publication of a downward revision of its delivery forecasts for 2024, following supply chain problems.

The aircraft manufacturer now expects only 770 aircraft deliveries this year, compared with 800 up to now, and will not reach its target of 75 aircraft per month until 2027.
The Euro-Stoxx50 is down just -0.4%, despite Airbus's -11%, the CAC's -1% and the DAX40's -1.1%.
Wall Street reopened mixed, with -0.4% for the Dow Jones, +0.2% for the S&P500 and +0.8% for the Nasdaq, at 17,630pts (in the wake of Nvidia, which recovered +3%).

In Paris, the US markets are taking a back seat to the "political fact": the programs of the 3 main contenders are being criticized for their "lack of realism", or even their danger to the French economy (sudden halt in activity and capital flight), and investors should refrain from taking overly outspoken positions while awaiting the first round of parliamentary elections in France, the outcome of which will prove decisive for the country's future.

Whatever the outcome, the teams at Apicil, an asset management specialist, expect a political risk premium to persist in France over the coming year.

'Since the announcement of the dissolution, the markets have corrected sharply, but consistently', says the social protection group.

Risk-taking will remain limited on Wall Street ahead of Friday's release of the PCE price index, a measure of inflation particularly closely watched by the Fed.

Investors are also eagerly awaiting the first debate between Joe Biden and Donald Trump, scheduled for Thursday evening, in the run-up to November's presidential election.

On the bond front, however, the week got off to a good start, with the spread between French OATs and German Buns narrowing to 72.5 basis points: our OATs eased by -2.3pts to 3.125%, Bunds by -2.1pts to 2.4010%.
Italian BTPs remain stable at 3.93%, i.e. +2Pts spread at +153Pts

On the US market, the yield on 10-year Treasuries remains fixed for the 3rd session at around 4.2500%.
On the oil front, prices are stabilizing after rising for two weeks in a row. Brent North Sea crude is down -0.4% at $85.8 a barrel.

The agenda will be light on indicators, with only the Conference Board consumer confidence index due to be released in the United States in the afternoon.

In French company news, Société Générale announces the completion of its share buyback program launched on May 27: 11,718,771 ordinary shares have been bought back by the bank for a total of 279.8 million euros and will shortly be cancelled.

Air Liquide plans to invest up to $850 million to build, own and operate four large modular air separation units and related infrastructure at the largest oxygen production facility in the Americas.

Capgemini reports that it has signed an agreement to acquire D+I, one of Australia's leading product design and development consultancies, with R&D laboratories in Sydney, Melbourne and Newcastle.

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