The Paris Stock Exchange fell slightly by 0.03% Tuesday morning, investors remaining on the sidelines awaiting the publication of data on inflation in the United States in April.
The flagship CAC 40 index lost 2.61 points to 8,206.99 points around 9:25 a.m. On Monday, it ended slightly down 0.12%, ending a series of six consecutive increases which took it to new highs.
On Friday, the flagship Parisian index reached a record high of 8,259.19 points, and a closing high of 8,219.14 points.
Wednesday’s publication of the April consumer price index in the United States will be the main event of the week. Before that, investors will take note of the producer price index on Tuesday, which could give a first indication of price dynamics within the world’s largest economy.
The first three months of the year were all marked by fairly strong inflation and above expectations, so this is an important week, comment Deutsche Bank analysts.
Markets are still trying to determine what the central banks’ next moves will be.
If a reduction in the key rates of the European Central Bank (ECB) this summer is almost certain, the scenario concerning the American Federal Reserve (Fed) is more uncertain after the recent rebound in inflation.
Without a slowdown in the inflation rate, it is unlikely that the US Federal Reserve will change its interest rates before the US elections, underlines Jochen Stanzl at CMC Markets.
Investors will scrutinize statements on Tuesday from Fed Chairman Jerome Powell, who is scheduled to participate in a question-and-answer session with Dutch central bank President Klaas Knot in Amsterdam.
On Monday, Fed Vice Chairman Philip Jefferson said the US central bank should maintain rates at current levels and continue its restrictive monetary policy until real progress is visible in the return of inflation. towards the 2% target.
Definitive data on inflation in Eurozone countries in April is also on the agenda this week.
Inflation in Germany stabilized in April at 2.2% year-on-year, according to final figures from the Federal Statistics Office Destatis.
On the bond market, the interest rate on the 10-year French State loan, the benchmark maturity, is around 3%.
All rights of reproduction and representation reserved. 2024 Agence France-Presse.