Meta description: The US stock exchange markets ended the week in the red, penalized by the technology sector and the diplomatic escalation between the United States and China.

Stock Exchange Markets Summary

The US stock exchange markets ended the week in the red, penalized by the technology sector and the diplomatic escalation between the United States and China.

US stock exchange markets fell amid diplomatic tensions between the United States and China. After Mike Pompeo’s virulent anti-Communist speech and the demand for the closure of the Chinese consulate in Houston, Beijing responded by demanding the closure of the one in Chengdu.

 In terms of values, Intel lost out following the announcement of a delay for its new production technology. The Dow Jones index fell 0.68% to 26,469.89 points while the Nasdaq Composite lost 0.94% to 10,363.18 points. Thus, they post a negative weekly balance sheet.

 Walt Disney (- 0.43% to 117.61) will postpone the release of the feature film “Mulan” to an undetermined date.

 Goldman Sachs (- 0.76% to 201.47) has accepted a $ 3.9 billion deal with Malaysia to end the scandal linked to its 1MDB sovereign wealth fund, accused of deception against investors during issues bonds organized by the bank for the benefit of the fund for a total of $ 6.5 billion.

 Honeywell International (-2.80% to 149.43) reported better than expected quarterly profit ($ 1.26 per share), with cost containment and strong demand for its automation equipment contributing to cushion the decline in its aerospace division, its main activity.

 The Schlumberger oil services group (+ 0.93% to 19.48) suffered stock exchange markets loss ($ 3.4 billion) for the second consecutive quarter after a $ 3.7 billion cost, which included the expenses relating to the elimination of 21,000 jobs.

European Stock Exchange Markets

Regarding European stock exchange markets, investors are cautiously approaching a week that will be particularly rich in corporate publications. Especially since tensions between China and the United States are high, and the health situation is worrying. 

 The euro, which continues to rise against the dollar, will also be one to watch. It has been at its highest since September 2019. In Paris, investors will react in particular to the results of Faurecia and Edenred.

 The Parisian stock exchange market ended the week sharply down, weakened by Sino-American tensions and the disappointment of the American Intel.

 In Germany, it increased sharply (55.5 after 47 in June). Just like in the Eurozone (54.8 after 48.5 in June), to the 2-year high.

 Airbus (- 2.07% to 63.93) announced that it entered into agreements with the French and Spanish governments to amend reimbursable advances linked to the A350. This measure should help resolve the dispute with the United States at the World Trade Organization (WTO).

 Sanofi shares fell 2.51% to 88.81, penalized by the prospect of signing an order from D. Trump, limiting the price of drugs in the United States.

 The Thales group fell 6.26% to 66.80, following the downward revision of its annual financial forecasts after seeing its profit fall by more than half in the first half of the year, as the effect of economic fallout from the health crisis linked to Covid-19.

 In contrast to products for medical imaging, the European leader, Guerbet, fell 3.99% to 32.45. This was after the announcement of turnover down 9.2%, but the group noted in June “encouraging signs of recovery”.

 The CAC40 stock exchange market index lost 1.54% to 4,956.43 points in an average volume of 2.90 MDE and lost 2.23% over the week.