The Paris Stock Exchange is heading for a higher opening on Monday, maintaining last week’s momentum ahead of the US central bank meeting.
The futures contract for the flagship CAC 40 index advanced by 0.46% around forty minutes before the opening of the meeting. The Parisian rating increased by 0.89% on Friday to end at 8,088.24 points and by 0.82% over the whole week.
On Friday, the New York Stock Exchange ended up, relieved by an inflation indicator that was less bad than expected and by the results of Microsoft and Alphabet, which pulled up the Nasdaq (+2.03%). The main event of the week will be the meeting of the monetary policy committee of the American Federal Reserve on Tuesday and Wednesday.
On the markets, however, nervousness should increase a notch as this event approaches, estimates John Plassard, investment specialist at Mirabaud. Especially since inflation is rebounding in the United States: it reached 2.7% over one year in March, according to the PCE index favored by the Fed.
The Fed should say that its confidence in the sustainable return of inflation towards 2% has diminished, according to Nancy Vanden Houten, economist for Oxford Economics. And the main concern of investors is how this acceleration in prices will influence the monetary policy of the most powerful central bank in the world.
At the start of the year, markets expected up to six key rate cuts from the Fed in 2024 starting in March, but they have largely revised these forecasts and no longer expect a rate cut before September. As for Monday, investors will scrutinize the first inflation figures for April in Germany and Spain.
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Company publications also continue this week, with ArcelorMittal, Capgemini, Thales, Teleperformance, Axa Crdit Agricole, Socit Generale and Legrand among the CAC 40 companies. In the United States, investors will analyze Amazon’s accounts on Tuesday , Apple on Thursday, but also Coca-Cola, Pfizer and AMD.
Values follow
Vivendi: the French media and entertainment group achieved 4.275 billion euros in turnover in the first quarter, up 86.6% thanks to the acquisition of Lagardre (+5.4% at constant exchange rates and scope) . Vivendi also continues to study the feasibility of its demerger project.
Atos: the Minister of the Economy Bruno Le Maire announced on Sunday that he had sent the struggling French IT giant Atos a letter of intent with a view to acquiring all of the group’s sovereign activities. The company also revised its liquidity and debt reduction needs upwards on Monday in a new business plan and indicated that it welcomed the State’s interest in its sovereign activities.