(AOF) – European equity markets ended down following being in the green mid-session. Around 5:30 p.m., the CAC 40 lost 0.19% to 6,210.22 points, while the Euro Stoxx 50 dropped 0.30% to 3,559.86 points. On Wall Street, the Dow Jones fell by 0.77%% and the Nasdaq by 1.04%%. Investors are still groggy from the very strong speech of the Fed Chairman last Friday in Jackson Hole. A third rate hike of 75 basis points in the United States in September is more than likely in the eyes of market analysts.
Last Friday, Jerome Powell, had clearly indicated that he was ready to take the necessary measures to mitigate the rise in prices, even if they affect the economy. Something to agitate investors.
The latter welcomed indicators with contrasting results on Tuesday.
In Germany, inflation rose once more in August, to 7.9% over one year, following two months of slowdown. This increase is explained by the surge in energy prices in the wake of the war in Ukraine. The price index gained 0.4 points year-on-year compared to July, and returned to its May level, according to the Destatis statistics institute. The harmonized price index, which serves as a benchmark for the European Central Bank, rose by 8.8%.
In the United States, consumer confidence picked up sharply in August, with consumers expecting to spend more in the coming months. The index stood at 103.2 points once morest 95.3 points (revised from 95.7) in July, according to the Conference Board index published on Tuesday, August 30. This is much better than expected by a consensus of analysts who certainly saw the index rising but at only 97.9 points.
In addition, the prices of key metals for several industries, such as steel, copper or aluminum, are currently on the decline, reaching their lowest level since February 2021 – with, for example, a 20% drop. copper prices between the first and second quarters of 2022.
On the Paris Stock Exchange, investors favored cyclical stocks like Alstom (+ 2.18% to 42.28 euros) and Saint-Gobain (+ 1.91% to 41.34 euros).
Receive our latest news
Every morning, the information to remember on the financial markets.
