(BFM Bourse) – The Parisian index is posting its first bullish week of 2024, while a price indicator in the United States published this Friday gives credibility to the thesis of a first rate cut by the Fed in March.
The Paris Stock Exchange ends this week on a favorable note. The CAC 40 closed up 1.05% at 7,465.14 points, bringing its increase to 0.6% over the entire week.
And above all, the flagship Parisian index posts its first positive week of 2024, after a false start at the start of the year.
If investors were caught off guard by inflation slightly higher than expected in the United States in December, they were able to find a source of satisfaction with the latest price figures this time on the producer side. Over one year, wholesale prices increased less than expected, by 1% in December compared to 1.3% expected by the market and after 0.8% in November.
Today’s publication places the thesis of a rate cut by the Federal Reserve in March at the center of stock market debates. The FedWatch tool testifies to the strong comeback of this hypothesis, since the markets estimate a first rate cut in March at 81%, while they were only 67% on Thursday, after the publication of the price index. to CPI consumption for the month of December in the United States.
On the bond market, it is also time for relaxation. The yield on the American 10-year bond fell back below 4% to 3.95%.
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Airbus keeps its promises
The CAC 40 was supported this Friday by Totalenergies (+1.1%), one of its largest weightings, the oil company itself being buoyed by surging oil prices.
The March contract on North Sea Brent advanced 1.3% to $78.44 per barrel, while the February contract on WTI listed in New York gained 1.25% to $72.92 per barrel.
Black gold prices are increasing with renewed tensions in the Red Sea, where the United States and the United Kingdom have carried out airstrikes against the Houthis in Yemen.
Another heavyweight on the Parisian stock market which carries the CAC 40: Airbus (+3.70%), which has clearly exceeded its delivery target for 2023 and is expressing its confidence in the current year.
Vinci gained 1.90%. The construction and concessions group has raised its cash generation forecast for the past year, which will mark a new record, higher than the amount of 5.4 billion euros for 2022.
Conversely, Kering lost 1.20% and LVMH 0.3% while the British Burberry plunged 9.2% on the London Stock Exchange, after reporting falling sales and having lowered its operating profit target for the current financial year for the second time in a few months.
Carmat dropped almost 15%, after announcing an agreement in principle with the European Investment Bank on the terms of repayment of a loan taken out in 2018.
On the foreign exchange market, the euro lost 0.1% against the dollar to 1.0961 dollars.
Sabrina Sadgui – ©2024 BFM Bourse