CAC 40, Nasdaq, Dow Jones… Stock markets around the world have fallen from the peak in mid-August, weighed down by the end of hopes for a less restrictive monetary policy from the Fed and the ECB . And we maintain some caution on shares, despite the sharp drop in stock prices on both sides of the Atlantic. “We have to pay attention to the stock market because inflation will be more tenacious than expected in the United States, due to the dynamism of the labor market and the upward trajectory of rents,” judges Frédéric Rollin, investment strategy advisor with Geneva. management company Pictet Asset Management. The expert believes that it is still too early to bet on a favorable change in the process of strengthening the monetary policy of the Fed (central bank of the United States).
CAC 40, Nasdaq… the specter of a historic crash: the board of the stock market
Beware of French, European and American stocks, it is better to be selective
Caution, in particular, on European and American capitals, which is better to avoid, in general, or invest in them on a case-by-case basis, selectively in some well-chosen shares, such as Momentum, the letter d investment. and the Capital Stock Exchange bulletin.
“Between rising home prices and rising mortgage rates, the overall cost of buying a home has risen in the United States. As a result, the real estate market is slowing down and the loss of purchasing power of families, already burdened by inflation, worsens… As for listed companies, their margins are under pressure, between the increase in producer prices and interest rates. , to such an extent that the Stock Exchange of Wall Street risks being disappointed”, explains Frédéric Rollin. And French and Eurozone stocks do not look better, between the gas crisis, the collapse of household confidence and the rise of interest rates.
The planet is heading for a ‘serious financial and debt crisis’, warns a leading economist
Bank action should be avoided
Badly treated by the financial crisis of 2008, the shares of banks could disappoint again, due to “the pressure on economic growth (which weighs on the activity of financial establishments and undermines the ability to repay of many customers), the tightening of the central bank’s monetary policy (which is getting worse). bank financing conditions) and the expected pressure on long-term rates (due to the economic slowdown), negative for banking revenues”, argues Frédéric Rollin.
Consumer discretionary actions may suffer
Actions of discretionary consumption (purchase of goods and services considered non-essential, which are opposed to basic consumption) are also to be avoided, due to the sensitivity of the sector to the economic cycle, which “wishes less purchases of durable goods”, notes Frédéric Rollin. In particular, China, a large consumer of durable goods, is seeing its economy slow down markedly.
Discover numerous analyzes (technical, financial and economic) at Momentum. Our price trend forecasts (our medium or short-term expectations), the main news to remember… Every day, at 12:30 pm, in your e-mail box for only 6.90 euros to the month. And now, with the promo code CAPITAL30J, take advantage of a free trial month. To subscribe, just click on the link below.
>> Buy and sell your investments (stock market, cryptocurrency, gold, etc.) at the right time thanks to Momentum, Capital’s newsletter on technical analysis. And now, with the promo code CAPITAL30J, take advantage of a free trial month.
Author’s Declaration of Interests