(Repeat to correct time of US jobs report release)
by Claude Chendjou
PARIS (Reuters) – Wall Street is expected to fall slightly on Friday and European stock markets are moving in small mid-session variations in a context of caution before the publication of the monthly employment report in the United States and after profits. Futures on New York indices signal an opening of Wall Street down 0.1% for the Dow Jones, 0.04% for the Standard & Poor’s 500 and 0.12% for the Nasdaq In Paris, the CAC 40 climbs 0.01% at 6,754.82 around 12:30 GMT. In Frankfurt, the Dax advances by 0.49%. In London, the FTSE, weighed down by the decline in raw materials, lost 0.21%.
The pan-European FTSEurofirst 300 index fell by 0.1% while the EuroStoxx 50 of the euro zone nibbling 0.13% and the Stoxx 600 0.05%.
Over the week as a whole, the CAC 40 is posting a gain of 0.66% at this stage and the Stoxx 600 an increase of 0.80%, the indices having notably benefited in previous sessions from the prospect of a lull in the rise in interest rates this month after the latest statements by Jerome Powell, the chairman of the American Federal Reserve (Fed).
The expected publication at 13:30 GMT of the US Department’s monthly employment report should not undermine the hope of a Fed rate hike limited to 50 basis points on December 14 since the Reuters consensus forecasts a slowdown job creations at 200,000 in October and a contained increase in wages at 4.6% over one year.
“There is a bit more caution today with news of a possible Russian oil price cap and nervousness over the closely watched US jobs report,” Victoria Scholar warns. , Head of Investments at Interactive Investor.
A document consulted by Reuters also shows that the Member States of the European Union will study a capped gas price lower than the proposal formulated by Brussels, at 264 euros/MWh.
In the indicators of the day, producer prices in the euro zone posted a more marked decline in October than expected, by 2.9% on a monthly basis, thanks in particular to a decline in energy costs, according to data released Friday by Eurostat.
VALUES IN EUROPE
In Europe, the real estate segment (+2.14%), still supported by expectations of a slowdown in the rise in the cost of credit, posted the best performance, while basic resources (-0.5%) showed the biggest drop.
In corporate news, Sanofi dropped 2.08% after declaring that in the event of an offer on the biotech company Horizon Therapeutics, it would be entirely in cash.
Teleperformance, implicated in a case on working conditions in Colombia, gains 5.65% following the announcement of discussions with the UNI Global Union union federation.
Elsewhere in Europe, Credit Suisse rebounded by 9.52%, its president Axel Lehmann having reassured investors about the capital outflows suffered by the bank.
RATE
Bond yields continue to fall on the prospect of a lull in interest rates.
That of the ten-year German Bund lost about four basis points to 1.77%, the lowest since early October, and could yield over the whole week nearly 20 basis points.
Its American equivalent of the same maturity fell by around one point to 3.51%.
CHANGES
The dollar fell 0.18% against a basket of benchmark currencies after falling to a low since June 29.
The euro is practically stable at 1.0532 dollars (+0.1%)
OIL
Oil rallies slightly ahead of Sunday’s OPEC-allies meeting as Europe otherwise seeks to cap Russian oil at $60 a barrel.
Brent rose 0.51% to 87.32 dollars a barrel and US light crude (West Texas Intermediate, WTI) 0.65% to 81.75 dollars.
(Written by Claude Chendjou, edited by Blandine Hénault)