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OF Morning Brief

03/02/2025
Source : ORISHAS FINANCE
Categories: General Information

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While the United States decided this weekend to impose 25% customs taxes on products imported from Canada and Mexico and when American President Donald Trump indicated that the European Union was also in the crosshairs, the European stock exchanges should postpone Going into the red at the opening on Monday

.


Sanofi announced on Monday that it had signed an agreement to buy 2.3% of the shares of the pharmaceutical group owned by L'Oréal. The amount of the transaction amounts to 3 billion euros.

Around 7:45 a.m., the CAC 40 futures contract fell by 2.1%, according to data from broker IG.

In order to get the 2025 budget adopted, Prime Minister François Bayrou announced that he would appeal for the first time on Monday to Article 49 paragraph 3 of the Constitution. The government is therefore putting itself in a position to be potentially censored in the process. The Automobile Platform (PFA), which brings together the sector in France, announced on the night of Saturday to Sunday that new passenger car registrations in France fell by 6.2% over one year in January in January in

raw data.

European equity futures pointed to a lower opening. Investors are preparing for some volatility after Donald Trump's decision on Saturday to impose tariffs of 25% on Canada and Mexico and 10% on China. Canada and Mexico plan to fight back against these new tariffs.
TD Securities says that “markets are likely to not welcome the announcement of tariffs” so quickly. According to Philip Marey, senior U.S. strategist at Rabobank, “it only took him [Donald Trump] three weeks since his inauguration to raise tariffs on Canada, Mexico

and China.”

Last Friday, the New York Stock Exchange ended lower, already cooled by the announcement of new United States tariffs against Canada, China, Mexico and also the European Union.
The Dow Jones index, which was up at the start of the session, lost 0.8% to 44,544.66 points, while the S&P 500 dropped 0.5% to 6,040.53 points. Rich in technology stocks, Nasdaq lost 0.3% to 19,627.44 points. According to data from broker IG, the DAX 40 futures contract lost 2.3%, while the FTSE 100 futures contract fell by 1.4%, around 7:45am.
In Asia, the Nikkei 225 index closed down 2.7% on the Tokyo Stock Exchange. Mainland Chinese markets are still closed on Monday due to Chinese New Year celebrations. On the other hand, the Hong Kong Stock Exchange is reopened after several days of closure. At the end of the session, the Hang Seng Index fell by 0.4%.


The 10-year US Treasury bond yield fell about 2 basis points, to 4.53%, around 7:45am, while that of the two-year bond rose by 4 basis points, to 4.25%.


The greenback gained 0.1% against the Japanese currency, at 155.39 yen. The euro was down 1.1% to 1.0253 dollars,

around 7:45am.

The March contract for soft light crude (WTI) listed on Nymex rose by $1.39, or 1.9%, to 73.93 dollars per barrel. The April one on North Sea Brent traded in London gained 77 cents, or 1%, to 76.44 dollars per barrel,

around 7:45am.
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