The Paris Stock Exchange extends its decline as the US jobs report approaches

At 11:14 a.m., the flagship CAC 40 index fell by 0.65% to 7,267.87 points following two sessions of slight decline.

“The elements in favor of a new monetary tightening are accumulating in the United States”, underlines Véronique Riches-Flores, economist at the RichesFlores cabinet. The head of the Fed, the American central bank, Jerome “Powell seems less and less hesitant on the question, judging by his remarks before Congress, convinced that he still has grain to grind to have a chance. control inflation,” she continued.

On Tuesday, Powell told the US Senate that economic data above market expectations in the United States suggested that the Fed’s “final level of interest rates” would be “likely to be higher than foreseen”.

On Wednesday, he clarified before the American Congress that “no decision (had) been taken” and in particular that the amplitude of the next rate hike would depend on the indicators.

These statements and the stronger than expected data on job creations in the private sector published on Wednesday “have already significantly changed market expectations” which are now considering a new series of hikes in the Fed’s key rates and “see the possibility of a rise in rates beyond 6% by the end of the year”, continues Ms. Riches-Flores.

During this session, investors will focus on the publication of weekly jobless claims in the United States.

JCDecaux shares plunged 12.42% to 19.95 euros around 11 a.m.

The display giant returned to the green in 2022 following two years of losses due to the Covid-19 pandemic but it forecast slow growth for the first quarter. It will once more not propose any dividend payments this year.

The Vivendi group (-1.24% to 9.73 euros) tipped into the red in 2022, with a net loss of more than one billion euros mainly due to the deconsolidation of the operator Telecom Italia.

Powerful takeoff at Dassault Aviation

The Dassault Aviation title soared 10.33% to 176.10 euros.

The aircraft manufacturer recorded a record volume of 20.9 billion euros in orders in 2022, up 74%, driven by the success of the Rafale combat aircraft for export and the dynamism of aviation. ‘business.