The Paris stock market was on a roll around 4 p.m., with the CAC40 rising from 7,065 to 7,105, easily surpassing the 9% mark for gains this year, despite Wall Street's sharp decline (-0.8% for the Dow Jones, which fell below 34,000, and -0.2% for the S&P500).000, -0.2% for the S&P500).
The Euro-Stoxx50, which climbed 0.3% to 4,170 (after a high of 4,193), has flirted with +10% in 12 sessions, pulled towards 4,160 by the L'Oréal share (+2.8%).

Investors face a busy day on the economic indicator front.
Manufacturing activity contracted sharply in the New York area, according to companies responding to the local Fed's Empire State survey in January, with the overall general business conditions index falling by 22 points to -32.9.

Input price rises slowed considerably, and sales price rises also moderated. Looking ahead, companies expect little improvement in business conditions over the next six months.

After an initial salvo of results on Friday, the big US banks are back in the spotlight today with the accounts of Goldman Sachs and Morgan Stanley: results are also mixed, with Goldman dropping -6% (profits down -69%), while Morgan Stanley jumps +4% (profits fall -41%, less than expected, while trading activity climbs +26%, buoyed by rising markets).

This morning, the ZEW index of investor sentiment in Germany recovered by 40.2 points, moving back into positive territory - for the first time since February 2022 - to stand at +16.9 in January.
Overnight, investors learned that China's GDP had only grown by 3% in 2022 (over 40 years) due to the resurgence of the epidemic in the country. The population is shrinking for the 1st time in 601 years, with just over 9.5 million births but 10 million deaths.

On the bond front, it was a good session, with the yield on our OATs falling by -11pts to 2.53%, Bunds by -11.5pts to 2.8%, and Italian BTPs by -13.5pts to 3.88%.
The prevailing view now is that Europe will escape recession and that inflation will soon calm down, allowing the ECB to be less aggressive on rates: this is the 100% "Goldilocks" or "rose-colored glasses" scenario.
The trend is far from being as positive on Wall Street, where the T-Bond 2033 is down just one point at 3.5020%.

In company news, Technip Energies announced that, in a joint venture with Samsung Engineering and Tecnimont, it had won a pre-construction services contract (PCSA) for the onshore infrastructure of the Hail & Ghasha gas development project in Abu Dhabi, United Arab Emirates.

Danone announces a global action plan to reduce methane emissions from its fresh milk supply chain by 30% in absolute terms by 2030, equivalent to 1.2 million tonnes of CO2 by that date.

Finally, Thales Alenia Space has signed a contract with Appworks to supply Thailand with the MEOLUT Next solution for locating distress signals

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