The Paris Stock Exchange hovered around equilibrium on Thursday morning after opening higher, digesting the speech of the head of the American central bank who indicated that the hikes in his interest rates would slow, but that they would remain high for longer. long time.
The star CAC 40 index (-0.01%) fell by 0.65 point to 6,737.90 points around 10:20 a.m. The day before, the Paris market had closed up 1.04%, ending the last session of November with an index that jumped 7.5% over the month.
After the close of European markets on Wednesday, the chairman of the US Federal Reserve (Fed) confirmed what the stock markets were expecting by indicating that a more moderate rate hike than previous ones was in sight for the next monetary meeting of the Fed. December 14.
Jerome Powell has thus endorsed the scenario already anticipated by investors of a rate hike of 50 basis points, against 75 basis points during the four previous increases.
But for all that, he warned that the work was far from over: inflation remains far too high, he insisted.
So while Mr. Powell’s words on Wednesday were arguably measured – slower rate hikes but higher rates for longer – the past year has proven to us that he is close to impossible. to anticipate the trajectory of inflation, commented Craig Erlam of Oanda.
And more importantly, what matters is not so much that the increases are less substantial than expected, but to know how far they can go and for how long, also judges Ipek Ozkardeskaya of Swissquote.
On the bond market, the French 10-year rate fell to 2.33% against 2.39% the day before.
Today’s meeting will be punctuated by several economic indicators. In the United States will be published the number of weekly jobless claims, the figure for household income and expenditure in October, the ISM manufacturing activity index for November as well as the PCE inflation index, the preferred barometer of the Fed, for October.
Retirement : save by paying less tax. 13 contracts compared
The PMI manufacturing indices published today in Europe should also reinforce the scenario of a slowdown in growth. November manufacturing PMIs in Spain, Italy, France and Germany are expected to be confirmed at 45.9, 47, 49.1 and 46.7 respectively, according to Michael Hewson of CMC Markets.
Profits no longer shun Pierre et Vacances
The Pierre et Vacances group, the European number one in leisure residences, has returned to profit, thanks in particular to new investors, and generated a net profit of 325 million euros in its 2021/2022 financial year, he announced. Thursday. Its share price climbed 8.11% around 10:20 a.m., 0.92 euros.
The tech is displayed in green
The technology sector was on the rise. Around 10:20 a.m., Atos gained 4.29%, Dassault Systmes 3.19%, STMicroelectronics 3.29%, OVH took 1.56% and Wordline 1.40%.