(Paris) Stock markets and bank shares rebounded sharply on Monday, with a slight ebb of fears about the banking system after the measures taken over the weekend.
European stock markets have been in the green since their opening, without however compensating for their losses on Friday. Around 9:45 a.m. (Eastern Time), Paris rose 1.23%, London 1.11%, Frankfurt 1.51% and Milan 1.70%.
In New York, the Dow Jones gained 0.87%, the NASDAQ 0.55% and the S
The index of banks in Europe rose 2%, including a jump of 5.88% for Deutsche Bank. On Friday, he had lost 3.78%.
In the United States, the First Republic bank, under pressure since the start of the crisis, climbed 27% in the first exchanges.
“ The weekend did not bring any new turbulence in the banking sector ”, is satisfied Craig Erlam, analyst at Oanda. On Friday, the situation of Deutsche Bank had reignited fears over the entire European banking sector, after the takeover in extremis of Credit Suisse.
The news received was even positively received, in particular the takeover of “ all the deposits and loans ” of Silicon Valley Bank (SVB), which went bankrupt in early March, by the American bank First Citizens. The action of the latter soared 46% in the first exchanges.
On the bond market, sovereign debt securities were abandoned in favor of equities, a sign of renewed interest in riskier assets. The interest rate on the 10-year German government bond, which varies inversely to the price of the bond, stood at 2.27% around 9:40 a.m. (Eastern time), against 2 .12% at Friday’s close.
The crisis is far from over. “The data from the US Federal Reserve show strong tensions on the banking system”, despite the assurances given by the political authorities, explains Vincent Boy, analyst at IG France.
For many economists, the difficulties encountered by banks in the face of the sudden rise in interest rates will cause a tightening of bank lending conditions and risk slowing down the economy a little more.
More than half of a panel of U.S. economists expect a U.S. recession in 2023, and nearly three-quarters see inflation remaining above 4% through the end of the year. year, according to a survey by the federation of economists NABE published on Monday.
In Europe, in addition to Deutsche Bank, Commerzbank (4.15%), BNP Paribas (2.75%) and Barclays (3.17%) shares resumed their colors.
Other banks, such as Unicredit (0.91%), Société Générale (0.55%) or Standard Chartered (0.41%), were more mixed.
In Riyadh, the Saudi National Bank sold 0.11%, after the resignation of the president of the group, the largest shareholder of Credit Suisse before its takeover by UBS. He had claimed that SNB would not increase its 9.8% stake in Credit Suisse, which had sent the Swiss bank’s share price plummeting.
Swiss pharmaceutical giant Novartis climbed 6.80% in Zurich, after reporting positive results for its drug Kisqali used in the treatment of breast cancer.
Oil prices rebounded on Monday. The barrel of Brent from the North Sea for delivery in May gained 1.51% to 76.07 dollars, while the barrel of American WTI at the same maturity rose by 1.69% to 70.43 dollars, around 9:40 a.m. ( Eastern time).
On the currency side, the euro gained 0.25% against the dollar, to 1.0787 dollars for one euro. The Swiss franc was in demand. It was worth $1.0913, up 0.37%.