(BFM Bourse) – The Paris Stock Exchange continues to climb after new statistics showing a slowdown in prices in the United States last month. The CAC 40 rose another 0.5%, buoyed by the hope that the Fed would adopt a more accommodating tone.
The Paris Stock Exchange is well prepared to achieve a perfect week, responding to the major events scheduled on the agenda for the past two days.
The CAC 40 rose another 0.5% to 7369.80 points on Thursday, with a peak in session at +1.03% to 7409.01 points. The Paris market welcomes the publication at the start of the afternoon of a slowdown in producer prices for the month of June. This index rose 0.1% in June on an annual basis, while the consensus was expecting a rise of 0.4% after rising 0.9% in May.
On Wednesday, investors had welcomed, not without great relief, the US inflation figures for the month of June, which came out well below expectations. These signs of a lull in prices are leading investors to hope that the US Federal Reserve (Fed) is adopting a more dovish tone. Even if another rate hike at its monetary policy meeting at the end of the month seems inevitable.
“Disinflation shows up more clearly in reports on the CPI (consumer price index, the main measure of inflation, editor’s note) and in the leading indicators that we follow”, underlines Tiffany Wilding economist at Pimco.
“U.S. consumer price inflation hit its lowest pace in more than two years in June, bolstering optimism that the Fed’s rate hikes will end soon,” said De his side, Mark Haefele, chief investment officer of UBS Global Wealth Management.
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Note that the Paris Bourse will be open on Friday July 14, but volumes are likely to be anemic. But on Wall Street, the animation will be provided by the banks JPMorgan, Citigroup and Wells Fargo, as part of the earnings season across the Atlantic.
Valeo, Carmila stars of the day
As for values, Valeo ended up 3.2% benefiting from an increase in Stifel’s recommendation to buy.
Carrefour ends stable at 17.28 euros and Carmila, a property company that operates the walls of the retail group’s shopping centers, jumped 7.4%. Carrefour has announced the acquisition from the Belgian Louis Delhaize of 60 hypermarkets and 115 Match and Cora supermarkets, which will strengthen its position in terms of market share against Leclerc. Carmila, for its part, will take over 52 shopping malls adjacent to Cora stores, which were 93% owned by the Louis Delhaize group.
Casino lost 2.5% after issuing a profit warning as the company undergoes financial restructuring.
Orpea ends down 1.2%, the operator of retirement homes has reduced its forecasts for 2023 noting an occupancy rate of its nursing homes in France lower than expected.
On other markets, the euro gained 0.45% against the dollar at 1.1190 dollars. Oil contracts are up slightly. The September contract on North Sea Brent rose 0.6% to 80.56 dollars a barrel while the August contract on New York-listed WTI gained 0.5% to 76.14 dollars a barrel.
Sabrina Sadgui – ©2023 BFM Bourse