The risk associated with Chinese real estate developer Evergrande, on the brink of a precipice, affected all stock markets on Monday and generated volatility at its highest for four months.
Risk aversion weighed on all indices and sectors, particularly basic resources, while the markets had already favored caution at the end of last week.
Read also The Hong Kong Stock Exchange fell 3.30% at the close
The downward movement first affected Hong Kong (-3.30% at the close) then Europe: Paris lost 2.26%, London 1.55% and Milan -2.30% around 12:48 p.m.
The Frankfurt Stock Exchange, where 10 new companies were starting their quotations in the DAX, which rose to 40 stocks, stumbled 2.16%.
Wall Street futures foreshadowed the same fate, falling between 1% on the Nasdaq and 1.53% on the Dow Jones before the opening.
"Evergrande, the second largest Chinese promoter faces a potential risk of default and investors are wondering about the contagion capacity of this situation
", observes Alexandre Baradez, analyst at IG France, in a daily update on the markets.
However,
"it is not only Evergrande"
which underlies the consolidation of the indices, but also
"the question of central banks"
and
"the surge in energy prices which contributes to the stress of companies which will be penalized. on their margins,
”explains the expert. The US central bank is not expected to announce the launch of the gradual reduction in monetary support on Wednesday but wait for its November meeting, depending on the dominant view in the market.
"Despite a still uncertain context, the Fed should reaffirm the imminence of tapering (the reduction of its monetary support), in order not to squander the trust capital that it has been able to gain from the markets"
, analyzes Franck Dixmier, director of bond management at Allianz Global Investors.
Read alsoInvesting in the stock market, a new passion for young French people
Its president
"Jerome Powell should however remain cautious, and postpone the concrete announcements, namely the calendar and the pace of reduction in purchases, to the next meetings in November or December"
for an implementation at the end of the year or at the very beginning. next year.
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