The session promises to be rough on the Paris market after the degradation of the note of the Italian debt rating by Standard & Poor's. After closing Monday down 3% below 3000 points to 2940 points, the CAC 40 index started the day down 0.75% before returning to a precarious balance (-0.04% 2938.96 points ). And in the wake of the Nikkei, which finished down 1.61%. Elsewhere in Europe, the Dax in Frankfurt Stock Exchange lost 0.67%, London and Milan 0.72% 1.16%.
The fears of a contagion of debt throughout the euro area after exacerbated to "A/A-1" against "A + / A-1 +" in the night of Monday to Tuesday by Standard & Poor's . The rating agency also maintained a negative outlook on the evolution of the Italian economy and fears of political uncertainty.For the record, the Berlusconi government faces a debt of 1.9 trillion euros, or 120% of its annual GDP. An austerity plan has been adopted by Rome last week, providing 59.8 billion euros in savings with the objective of bringing the budget to balance in 2013. But for now, markets are not convinced.
At the same time the crisis in Greece bogged down. The teleconference scheduled Monday between the Greek Finance Minister Evangelos Venizelos and the three leaders of the troika of the creditors of Greece, which gave birth to a mouse. The meeting, which aimed to reassure the ability of Greece to meet its commitments on reducing deficits, and has resulted in "no official announcement." And, after being delayed, as was held in the evening, while the meeting was initially scheduled earlier this afternoon.These evasions have nothing to reassure the markets, waiting for the release of the next tranche of Athens international loan of 8 billion euros by the end of critical October to break the impasse.
Barack Obama raises his voice
Instead, a new conference of the same type to take place on Tuesday, said the European Commission in a statement. To this must be added the possibility of leaving the euro of Athens as the Greek daily Kathimerini, the Greek government would consider holding a referendum on the continuation of the European currency.To summarize the current concern, Pedro Passos Coelho, Portugal's prime minister, warned in our columns that "if Greece dark, the whole European Union is at risk."
At the European gloom, in addition to lingering fears across the Atlantic, where Barack Obama announced a plan to further reduce the deficit of 3000 billion on Monday, financed half by tax increases for the rich, did not produce any relief. While demonstrating in front of shocked Wall Street against the "greed" of banks, including the U.S. president called the easiest to "pay their share," choosing not to extend beyond the end of 2012 the tax breaks granted to more off by the administration of his predecessor, Republican George W. Bush (800 billion dollars and would be recovered over ten years)."We can not afford these tax rates low for the rich. We can not help us while we are suffering large deficits, "he said.
A meeting of the Fed on rates
On the macroeconomic front, France, received orders worth in the industry in July will be released at noon.
In Germany, the ZEW barometer of confidence the financial community is expected at 11:00.
United States, the housing starts in August will be announced at 14:30. And above all, a meeting of the Monetary Policy Committee of the Fed starts on Tuesday for two days. The U.S. central bank is expected to launch a program to exert downward pressure on interest rates over time. The announcement could calm the markets, especially as the Fed pledged to keep rates low until mid-2013 as a minimum.
On the foreign exchange market, the euro fell against the dollar Tuesday as investors fearing an extension of the debt crisis in the eurozone. In the morning, the euro bought 1.3613 dollars against 1.3692 dollars the night before.
As for oil prices were mixed Tuesday morning in a market still concerned about the debt crisis in Europe after the fall of the note of Italy by Standard and Poor's. In early electronic trading, a barrel of "light sweet crude" for October delivery gave up five cents to 85.65 dollars per barrel of Brent North Sea crude for October delivery gained 48 cents to 109.62 dollars."The downgrade by Standard and Poor's has some worried the markets," said Nick Trevethan, commodities analyst at ANZ Research in Singapore.
Values to follow
Societe Generale (-2.43% to 17.26 euros), BNP Paribas (-2.20% to 26.06 euros) and Natixis (-0.99% to 2.30 euros) are again under pressure. Standard & Poor's announced that it lowered a notch credit ratings long and short of unsolicited Italy, while maintaining a negative outlook.Despite his exposure to Greek sovereign debt to the tune of 24 billion euro, the Chairman of the Board of Directors of BNP Paribas, Michel Pebereau said on RTL radio Tuesday that it currently has "no need to be recapitalized."
• PPR (-0.63% to 109.90 euros)
The Group confirmed the abandonment of the auction held to sell Redcats, a subsidiary of distance, a failure that demonstrates the negative impact the financial crisis on mergers and acquisitions transactions.
• Bureau Veritas (1.12% to 54.20 euros)
Bureau Veritas, the world of the inspection and certification, announced Tuesday a target growth of 9% to 12% of its turnover per year, reaching the end of 2015 revenues of approximately 5 billion euros.
• Carrefour (+0.12% at 16.03 euros)
The retailer plans to open within a year a luxury supermarket Place de la Madeleine in Paris (8th arrondissement) of 3500 square meters, La Tribune said Tuesday. The group distribution was confirmed to AFP on the eve "the existence of a project in the district of Madeleine," without specifying the content, however.
• Total (-0.47% to 32 euros)
The oil company is seeking buyers for assets it holds on the British part of the North Sea without being involved in the operations, says Bloomberg. The value of these assets could reach 575 million euros.Total plans to invest in contrast to other sites in the North Sea.
• Zodiac Aerospace (3.37% to 56.75 euros)
The group released an annual turnover in growth and reiterated its goal of profitability for the year, thanks to the resumption of the aviation industry.
• ADP (0.04% to 54.89 euros)
The company announced that traffic was up 1.4% in August compared to the same month last year, 6.1%.
• Manitou (-2.05% to 13.89 euros)
The group announced Monday to be ahead of at least six months of its turnaround plan after publishing financial results up sharply in the first half of 2011.