CAC 40 Rises On Optimism Over US Stimulus


(RTTNews) – French stocks rose on Monday, with U.S. President Donald Trump’s health outlook and U.S. stimulus talks remaining in focus.

Trump has “continued to improve” as he is treated for Covid-19, his doctors said Sunday, and indicated that he could return to the White House later today.

In another development, U.S. House Speaker Nancy Pelosi said that likelihood of a rescue package has risen.

The Covid-19 situation remains a major worry, with Paris on the verge of being placed on maximum alert.

The benchmark CAC 40 climbed 40 points, or 0.8 percent, to 4,863 after edging up marginally on Friday.

In economic releases, the euro area private sector expanded only marginally in September as the service sector slipped back into contraction, while manufacturing output grew the most in over two-and-a-half years, final survey data from IHS Markit showed.

The composite output index fell to a three-month low of 50.4 in September from 51.9 in the previous month amid rising coronavirus cases. The flash score was 50.1.

France’s private sector slipped back into contraction largely due to a sharp rise in covid-19 infection rates.

At 48.5, France’s final composite score came in line with the flash score and was down from 51.6 in August.

The reading signaled the first decline since May. The services PMI declined to 47.5 from 51.5 a month ago. The score matched the flash estimate.

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