The control room of Euronext, the company that manages the Paris Stock Exchange (AFP/Archives/ERIC PIERMONT)
The Paris Stock Exchange fell slightly, by 0.21%, on Wednesday, preferring caution before the announcements of the American central bank relating to its monetary policy, the day after inflation figures in the United States were lower than expected.
The CAC 40 index lost 14.19 points to 6,730.79 points. The day before, the Parisian market had rebounded sharply by 1.42% after a negative start to the week.
The Parisian rating was wait-and-see throughout the session, awaiting the press release from the Federal Reserve (Fed), which will be published at 7:00 p.m. GMT, and the speech of its president Jerome Powell.
Investors anticipate a 50 basis point hike in the Fed’s main interest rate at the end of its last meeting of the year, after four straight hikes of 75 basis points.
The hypothesis of a slowdown in monetary tightening is supported by US inflation figures on Tuesday, below analysts’ expectations, at 7.1% in November over one year, slowing after +7.7% in october.
These figures included “good news” for Bénédicte Kukla, senior investment analyst at Indosuez Wealth Management. However, the high level of inflation in services worries the expert, especially since “the job market remains very tight and wages will continue to exert pressure on prices in services”.
Investors will scrutinize the words of Jerome Powell for any clue on the evolution of rates in 2023, which they hope to see stagnate at a peak around 5%, or even drop for the most optimistic.
“The markets are overestimating the Fed’s ability to pivot”, that is to say to change direction in its monetary policy, warns Bénédicte Kukla, however, considering that the job market and that inflation in services remained too tense.
Thursday, it will be the turn of the Bank of England and the European Central Bank to decide.
The biotech AB Science fell 24.31% to 6.45 euros, after receiving a notice of insufficiency from the Canadian public health authority Health Canada in the context of its application for the marketing of masitinib in the treatment of amyotrophic lateral sclerosis. The review process has been paused and will resume when additional information is communicated to Health Canada.
The title Lysogene plunged 42.19% to 0.37 euros, for the session of resumption of its quotation, while the biopharmaceutical company announced that the Commercial Court of Nanterre had “granted its request to open a ‘a safeguard procedure, which will be accompanied by an observation period set at a maximum of six months’.
The number one European leisure residence Pierre et Vacances climbed 7.21% to 1.07 euros, after announcing on Wednesday the success of the restructuring operations of Villages Nature Tourisme and the closure of the accelerated safeguard procedure opened in July. before the Commercial Court of Paris.
© 2022 AFP
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