(AOF) – European equity markets fell in the wake of Wall Street. Investors reacted badly to comments from several Fed officials that the first rate hike could come as early as March. The market now assigns a 93% probability to such a scenario. In this context, well valued growth stocks, such as Kering or Esker, are being mistreated. Despite a good quarterly performance, SAP is thus in decline. Around noon, the CAC 40 lost 0.68% to 7,152 points while the EuroStoxx lost 0.87% to 4,728 points.

In Europe, SAP lost 0.78% to 119.56 euros despite a solid performance of the cloud in the fourth quarter, whose growth accelerated again. According to preliminary data, the professional software publisher posted adjusted operating income down 11% to 2.47 billion euros. Excluding the impact of exchange rates, it fell by 12%. The margin fell by 5.4 points to 30.9% at constant exchange rates.

In Paris, EDF fell more than 15% to 8.736 euros, heavily penalized by the decisions taken by the government to limit the rise in electricity prices to 4% in February. The group, nearly 84% owned by the state, is forced to sell more electricity at reduced prices to its competitors, even as prices are soaring. According to EDF’s first estimate, this measure will cost it this year between 7.7 and 8.4 billion euros in EBITDA, or nearly half of the EBITDA expected by the group in 2021.

Esker unscrews from 9.86% to 265 euros, the well valued growth stocks no longer being in the odor of sanctity due to the prospect of a rate hike. However, the technology group once again achieved the best quarter and the best year in its history, crossing the threshold of 130 million euros in sales for the whole of 2021. During the fourth quarter, Esker achieved consolidated revenue of 35.9 million euros, up 16% on a reported basis and 14% at constant exchange rates.

The macroeconomic figures of the day

Over one year in France, INSEE confirmed that consumer prices increased by 2.8% in December 2021, like the previous month. Over one month, consumer prices rose by 0.2%, after +0.4% in November. Over one year, the harmonized consumer price index increased by 3.4%, as in November. Over one month, it increased by 0.2%, after +0.4% the previous month.

The French trade balance deficit came out in November 2021 at 9.7 billion euros after 7.7 billion in October. It worsened due to the rise in imports, largely linked to the rise in commodity prices.

In the United States, December retail sales and December import prices are expected at 2:30 p.m. Industrial production and the production capacity utilization rate in December will be published at 3:15 p.m. Business inventories for November and the University of Michigan consumer confidence index for January will be released at 4 p.m.

Around noon, the euro gained 0.03% to 1.1459 dollars.


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