The Paris Stock Exchange should open slightly higher on Monday, at the start of a week which will be marked by a meeting of the American central bank, the Fed, whose investors are hoping for signs of inflection.
The futures contract for the star CAC 40 index rose by 0.26% around forty minutes before the opening of the session. On Friday the index rose by 0.46%, ending the week positively (+6.94%).
Investors are increasingly counting on an easing of measures taken by central banks to fight inflation.
Signs of slowing inflation in the United States and parts of the economy, notably the American housing market, and recent decisions by the central banks of Australia and Canada, which raised their rates less than expected , support this hypothesis.
“Investors are fully focused on this turnaround” and no one “wants to miss the stock market rebound wagon, especially if the Fed makes a similar policy shift this week,” said SPI analyst Stephen Innes.
For Michael Hewson, analyst at CMC Markets, it is not yet time to anticipate “a pause in the Fed hike cycle, but rather”, a reduction in the magnitude of rate hikes “with perhaps -to be 25 or 50 basis points in December”, after the increase of “75 basis points expected this week”.
The prospect sent the New York Stock Exchange indexes jumping on Friday, with the three main ones climbing more than 2% despite poor results published by the technology sector.
Publications of corporate income statements will continue this week, with Axa, BNP Paribas, Teleperformance, Legrand, Stellantis and Société Générale expected this week in Paris.
Value to follow
Stellantis: The automaker and its Chinese partner GAC have announced the filing for bankruptcy of a joint venture in China, as Stellantis reviews its strategy in the country.
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