"},"content":{"rendered":"[vc_row njt-role=”people-in-the-roles” njt-role-user-roles=”administrator,editor,author,armember”][vc_column][vc_column_text]<\/p>\n
<\/p>\n
Almost a return to normal. The Paris Stock Exchange<\/strong> continues to rebound after recording a gain of 0.9% on Monday<\/strong>. At around 9:15 a.m. on Tuesday, the CAC 40 was up 0.74% at 7,130.42 points.<\/strong><\/p>\n <\/p>\n Contagion concerns related to the Silicon Valley Bank (SVB)<\/strong> bankruptcy and the Credit Suisse<\/strong> acquisition seem to have subsided for now. But while the market has erased its losses from Friday, it remains fragile<\/strong> and susceptible to negative reactions to any bad news.<\/p>\n <\/p>\n This upward trend is supported in particular by the banks. BNP Paribas, Cr\u00e9dit Agricole and Societe Generale<\/strong> are experiencing increases ranging from 1.6% to 2.4%. Similarly, the luxury goods sector is seeing a rise in its stocks, with LVMH (+0.72%) and Dior (+0.63%)<\/strong> reaching new records.<\/p>\n <\/p>\n Large industrial companies<\/strong> are benefiting from growth in France, which has helped reduce public debt. The public deficit fell more than expected and now stands at 4.7% of GDP. Alstom and Saint-Gobain<\/strong> posted an increase of more than 2%<\/strong>, while Valeo<\/strong> recorded an increase of 2.6%.<\/strong> The French automotive supplier filed 588 patent applications<\/strong> last year, according to the annual barometer of the European Patent Office published this Tuesday. This is the highest number of applications among French companies.<\/p>\n <\/p>\n <\/p>\n The regulatory authorities have given their support to the purchase of a large part of the deposits and loans<\/strong> of Silicon Valley Bank (SVB) by First Citizens Bank<\/strong>, which has calmed the markets somewhat. In addition, U.S. regulators are considering extending the deposit guarantee<\/strong> to allow First Republic Bank<\/strong> to strengthen its balance sheet.<\/p>\n <\/p>\n Michael Barr, Vice Chairman of the Fed and Martin Gruenberg, head of the FDIC, the bank deposit guarantor,<\/strong> assured that the financial system is “strong and resilient”. Regulators will be questioned today at 4 p.m<\/strong>. by the U.S. Senate Banking Committee to discuss SVB’s situation, more than two weeks after its failure.<\/p>\n <\/p>\n <\/p>\n But the central banks could be forced to continue their monetary tightening policy<\/strong> to curb inflation, which raises the risk of recession on the other side of the Atlantic<\/strong>. The yield on the two-year U.S. bond has fallen back below 4%, to 3.9733%<\/strong>, but remains above the 10-year maturity, which is at 3.5270%<\/strong>. This inversion of the curve is often a harbinger of a coming recession.<\/p>\n <\/p>\n The Fed will “keep rates high because it’s the only tool they have, the only tool they know will cause the economy to slow and inflation to fall”<\/em>, commented Cheryl Smith<\/strong> of Trillium Asset Management on Bloomberg Radio.<\/p>\n <\/p>\n Analysts at Morgan Stanley<\/strong> are forecasting a decline in stock valuations and earnings estimates<\/strong> due to the expectation of a recession that will limit the market’s growth potential.<\/p>\n <\/p>\n <\/p>\n Read also >Bankruptcy of the SVB : are we heading for a new financial crisis?<\/a><\/p>\nSVB’s bankruptcy on everyone’s mind<\/h2>\n
Risk of recession in the US<\/h2>\n