The Paris stock Exchange ended in the red, weighed down by the political crisis of the Italian

The Paris Bourse ended in retreat (Photo ERIC PIERMONT. AFP)

The Paris stock Exchange ended in the red Monday (-0,61%), investors opting for caution in the face of the political crisis in italy.

The CAC 40 index gave 33,62 points to close at 5.508,93 points, in a volume of trade low of 2.5 billion euros. On Friday, the index had ended down 0.11%.

The rating of the parisian opened up and then she gradually lost ground, before sinking into the red.

This decline is mostly due to the political situation in Italy, according to Andrea Tuéni, an analyst at Saxo Bank.

“Italy is sinking in the political crisis and the risk, it is the holding of new elections where extremists and eurosceptics remporteraient a majority still stronger,” he noted to the AFP.

The Italian president, Sergio Mattarella, was charged on Monday, Carlo Cottarelli, the incarnation of the austerity budget, to form a government until the holding of new elections, which will probably take place in the fall or, “at the latest”, the beginning of 2019.

He had refused Sunday to appoint a minister of Finance eurosceptic chosen by the populists, paving the way for a political crisis without precedent in Italy, the third economy of the euro area.

“The equity indices are in a very positive now for several weeks, it is not surprising that investors are using this situation as a pretext to secure gains,” said Mr Tuéni.

– The banks to the sentence –

Moreover, “it must be remembered that these movements are performed in a volume that is not excessively strong, since we face the lack of investors in anglo-saxon countries due to holidays”, he completed. This situation has had the effect of amplifying variations, according to him.

In this context, the banking stocks were to the sentence. “It is directly linked to the Italy, the sector is in the front line,” said Mr Tuéni.

The markets are watching also the political situation in Spain, where the socialists have filed on Friday a motion of no confidence to attempt to overthrow the conservative government of Mariano Rajoy. The chamber of deputies announced on Monday that the censure motion would be debated on Thursday and Friday.

The side indicators, the agenda has been very little loaded.

Among the values, the banking sector has been in the money, (societe generale (PA:SOGN) of-0.75% 40,34 euro, BNP Paribas (PA:BNPP) -1,07% 59,89 euros and Credit Agricole (PA:CAGR) -1,66% to 12,45 euros), in the face of the political uncertainties in italy.

The French manufacturer of drones Parrot fell from 4.82% to 4,74 euros, affected by a fall of 23 per cent of its turnover in the first quarter and by a net loss, which reached 18.9 million euros.

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