After a decline of nearly 1% in May, the Paris Stock Exchange should start June on a stable note, even slightly up, while Wall Street reduced its losses at the end of the session on Tuesday. The stabilization of oil prices and the easing of health restrictions in China should be a supporting factor.
The barrel of Brent from the North Sea is hovering around 116 dollars following an article by the wall street journal that OPEC plans to drop Russia from its production deals, paving the way for a unilateral increase in its pumping. The question of inflation nevertheless remains at the center of concerns in the euro zone, where it reached a record 8.1% over one year in May.
The Fed tackles the reduction of its balance sheet
It is also today that the US Federal Reserve (Fed) is due to begin the process of reducing the size of its balance sheet by 8.9 trillion dollars. Traders are also counting on a 50 basis point hike in the rate of Fed-funds during the next two meetings of its monetary policy committee.
Opinions remain divided within the institution, Governor Christopher Waller having come out in favor of a continuation of monetary tightening by half a point in order to ensure that inflation is under control, while d Other officials, including Atlanta Fed President Raphael Bostic, believe a break could come in September. The Fed is to publish its Beige Book in the evening, which takes stock of the evolution of the economy in the 12 districts of the central bank. The Bank of Canada is expected to raise its key rate by 50 basis points to 1.5% on Wednesday.
But before that, the markets will have taken note of the final S&P Global PMI indices of activity in the manufacturing sector in the euro zone in May, as well as their ISM equivalent in the United States. In China, manufacturing activity continued to contract last month, but at a less marked pace, the PMI index established by Caixin standing out at 48.1 points, against 46 in April and 49 anticipated by the consensus formed by Bloomberg.
“Innovative treatment” for Sanofi
Sanofi and its Swedish partner Swedish Orphan Biovitrm (Sobi) have announced that the US Food & Drug Administration has granted Breakthrough Therapy Designation to efanesoctocog alpha for the treatment of hemophilia A.
Saint Gobain has entered into a definitive agreement to acquire Kaycan, a Canadian manufacturer of outdoor building materials, for US$928 million in cash (approximately €860 million).
Renault – Stellantis. Registrations of new passenger cars in France fell by 10.09% over one year in May, in raw data, announced Wednesday The Automotive Platform (PFA) which brings together the sector in France.
Ipsen indicated that it had entrusted an investment services provider with a mandate to buy back 125,000 of its own shares, representing approximately 0.15% of its capital, over a maximum period of three months.