The control room of Euronext, the company that manages the Paris Stock Exchange (AFP / ERIC PIERMONT)
The Paris Stock Exchange fell slightly by 0.10% on Monday, showing caution before the publication of inflation figures in the United States for February, expected on Tuesday.
The flagship CAC 40 index lost 8.28 points to 8,019.73 points. Last week, it gained 1.18% to set a new record at the close (8,028.01 points) and in session (8,048.09 points) on Friday.
Some profit-taking is being done by investors who have made gains with the records recorded on several stock exchanges.
In addition, “the results season is over so we lack a catalyst”, notes Jeanne Asseraf-Bitton, head of research and strategy at BFT IM, who observes that the markets are in a waiting position before Tuesday’s publication of the February consumer price index in the United States.
Given the latest macroeconomic indicators published, the markets’ hypothesis is that “the American economy is slowing down, that there is indeed disinflation and wage moderation. This process is happening more slowly than the market expected but it is sufficient to anticipate a drop in rates in the middle of the year”, explains Jeanne Asseraf-Bitton.
The statistics released this week will be the last before the US Federal Reserve (Fed) policy committee meeting, which takes place on March 19-20.
An event which “will be very important, not so much for the decision” which will emerge, “because there is not much doubt” that the Fed will keep its rates unchanged, according to Jeanne Asseraf-Bitton. “Forecasts” will be especially important for the markets.
It was also “the revision of the European Central Bank’s forecasts which moved the markets a little” last week, she recalls.
On the bond market, the interest rate on the ten-year French government bond rose slightly to 2.76%, compared to 2.72% at Friday’s close.
Carrefour taken to court
The CFDT union announced to AFP on Monday that it was taking the distribution giant Carrefour to court, accusing it of selling numerous stores to third-party companies in France, which it considers to be “local relocations”.
In the union’s sights, the transition of many stores to rental management and franchising. “We believe that this management method, as practiced by Carrefour, does not meet the rules of law and that it has very serious consequences for workers,” explained Sylvain Macé, national secretary of CFDT Services.
The distributor’s action increased by 0.68% to 15.49 euros.
Euronext CAC40