After losing 0.24% yesterday, the Paris Bourse continues its slight consolidation today, dropping 0.34% to 7254 points.

The Paris index was penalized in particular by the rise in oil prices, which were close to their highest levels for a year, with Brent up 2% to $90, and by Saudi Arabia's announcement that it would extend the reduction in its quotas (-1 million barrels/day) until the end of 2023.

Furthermore, the latest PMI figures were not encouraging: in France, the HCOB PMI composite index of global activity reported a third consecutive monthly decline in the private sector, from 46.6 in July to 46 in August.

The index shows the strongest rate of contraction since November 2020, with activity declining at a sustained pace in both manufacturing and services, the latter seeing its index settle at its lowest since February 2021.

In the French private sector, overall 'new business' volume recorded its strongest monthly decline for 33 months, and the survey showed only a slight increase in employment in August.

In the eurozone, the HCOB composite PMI index of overall activity fell from 48.6 in July to 46.7 in August, the sharpest contraction in the eurozone private sector since November 2020, and, apart from the peaks reached during the Covid-19 pandemic, since March 2013.

This publication is also marked by an unexpected acceleration in inflation in prices paid by private companies in the eurozone, a reversal of trend which, according to the investigators, 'mainly reflects the upward trajectory of wages'.

In the UK, the PMI services index fell to 49.5 last month, down from 51.5 in July, and back to its lowest level since the start of the year, although the decline was less pronounced than the first reading of 48.7.

Other statistics due by the end of the week, particularly those from German industry, should also highlight the loss of momentum on the Old Continent at the start of the third quarter.

This should not prevent the indices from continuing to rise, since despite China's aborted rebound, the recession in certain countries in the zone, including Germany, and still very high inflation, the indices all remain close to their all-time highs", says Vincent Boy, market analyst at IG France.

On the bond front, the deterioration that began 10 days ago (accelerating sharply on Friday) continues, with +2.5pts on OATs (3.13%), +3pts on Bunds (2.605%), and +4pts on Italian BTPs (4.335%).

But the US fixed-income markets did much worse, with the 'catch-up' resulting from the close of Wall Street on Monday: T-Bonds suddenly added +8.5Pts to 4.26%... but this may be linked to the surge in oil prices.

The Dollar took advantage of the situation to strengthen (+0.8% to $1.0710/E) and reach a 3-month 'high' (level tested on June 7 and again on the morning of June 8).

In French company news, Air France-KLM and Airbus announce that they have entered into exclusive negotiations to set up a joint venture to provide worldwide maintenance services for Airbus A350 equipment.

Eutelsat Communications announces a new strategic partnership with asset management company Karista, under which the satellite operator becomes a new subscriber to its spacetech fund.

Renault Group announces the second year of its Renaulution Shareplan employee shareholding operation, as part of its objective to increase the proportion of capital held by employees from 4.7% at the end of the 2022 operation to 10% by 2030.

Thales today announces a cybersecurity partnership with Kyndryl, billed as the world's leading provider of IT infrastructure services.

Finally, Stellantis announced on Tuesday that the synthetic fuels resulting from its collaboration with Saudi oil company Aramco would be compatible with its European vehicles.

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