2023-12-13 09:43:06
Paris (AFP) – The Paris Stock Exchange opened close to equilibrium on Wednesday, the day following a record, and has since been moving slightly higher, pending the outcome of the monetary policy meeting of the American central bank (Fed ).
Published on: 13/12/2023 – 10:43 Modified on: 13/12/2023 – 10:41
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The flagship CAC 40 index advanced 24.16 points to 7,567.71 points (+0.32%) around 10:15 a.m. On Tuesday, the index ended down 0.11%, following reaching a historic high during the session (7,582.47 points).
“The main highlight of the day will be the monetary policy decision of the Federal Reserve (Fed) and the press conference of the president of the institution, Jerome Powell”, comment the strategists of the Deutsche Bank.
The decision will be announced on Wednesday at 7:00 p.m. GMT in a press release published at the end of the monetary committee meeting (FOMC) which began on Tuesday, and the press conference will follow.
To contain inflation, the Fed has raised its key rates 11 times since March 2022, bringing them to their highest level in 22 years, in a range of 5.25 to 5.50%.
The vast majority of analysts expect rates to remain in the current range and anticipate the first cuts from the first months of 2024.
Jerome Powell’s speech will be particularly scrutinized, with analysts expecting him to “seek to contain market optimism and adjust expectations regarding rate cuts”, comments Ipek Ozkardeskaya, analyst at Swissquote Bank.
Also on the agenda, monetary policy decisions from the European Central Bank (ECB) and the Bank of England will be expected on Thursday.
On the bond market, the French 10-year rate was moving at 2.75% around 10:15 a.m., compared to 2.77% at the close on Tuesday.
On the value side, Renault (+0.53% to 37.81 euros) confirmed on Wednesday that it had sold 211 million shares of Nissan, or 5% of the 28.4% it held, for 764 million euros, leading to a loss of one billion euros in its accounts, compared to 1.5 billion euros initially estimated.
Pernod Ricard, the French wine and spirits giant, has announced that it is launching the marketing of a whiskey made in its distillery in China and “will gradually extend the distribution of this spirit to the entire country”, according to a press release on Tuesday. The stock fell 0.22% to 155.60 euros.
© 2023 AFP
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