The Paris Stock Exchange advanced 0.58% on Monday, at the start of a week marked by the next meeting of the European Central Bank (ECB), with the market believing in the scenario of a first rate cut in June.
The flagship CAC 40 index gained 50.49 points to 8,111.80 points, around 9:50 a.m. On Friday, the index dropped 1.11%, 8,061.31 points, its worst performance since January 3. Over the week, the CAC 40 fell 1.76%.
The market is focused on the ECB monetary policy meeting on Thursday.
There is broad consensus among ECB members that June is a key date for the first rate cut. This meeting should therefore have a limited impact on the financial markets, comments François Rimeu, strategist at La Franaise AM.
Investors are wondering more about the timing of the first rate cut by the Fed, the powerful American central bank, after the publication of economic indicators last week signaling a still vigorous American economy.
It is increasingly difficult to reconcile new macroeconomic data with the idea of a Fed rate reduction from June, estimates Spi AM analyst Stephen Innes.
The market will therefore carefully scrutinize the publication of the American Consumer Price Index (CPI) for the month of March on Wednesday, putting the expectations of the monetary policy direction of the powerful American central bank (Fed) at the forefront. scene.
Since the start of the year, the CPI has turned out to be higher than expected, but for the moment, the Fed is not alarmed, notes Deutsche Bank.
An index that surprises the rise for a third consecutive time could push the Fed, during its next meeting in May, to postpone the first rate cut, which the market hopes to see arrive in June, later in the summer, underlines Stephen Innes, SPI AM analyst.
Atos leaps
The title of the IT group, Atos, jumped 9.92% to 2.13 euros, the investment company Butler Industries having joined on Sunday the rescue plan proposed by the company Onepoint for Atos.
The group must present the parameters of its refinancing framework to its creditors on Monday, after the failure of the sale of part of its activities in March.
Believe let go by Warner
The giant Warner Music Group (WMG) has decided, after careful consideration, (…) not to present a firm offer to buy out the French group specializing in music distribution Believe, according to a press release on Saturday.
Believe shares fell 9.70% to 14.94 euros.