The Paris Stock Exchange rebounded modestly on Friday but presented a negative weekly balance sheet in an amorphous market which will turn its attention next week to US inflation and the meeting of the US Federal Reserve.
The CAC 40 index rose 0.46% or 30.33 points to 6,677.64 points, its only session in the green of the week. The Parisian place lost 0.96% over the past week following nine consecutive weekly gains, a series not seen since 2009.
This week, fears of recession have curbed investors’ appetite for risk ahead of a high-stakes agenda with consumer prices in the United States starting on Tuesday, ahead of meetings of the Federal Reserve (Fed) and the Bank of England (BOE) then the European Central Bank (ECB).
“The tone of central bankers’ speeches and their projections are likely to generate a final repositioning before starting 2023,” say experts from Natixis CIB Research in a note.
Several inflation-related data published Friday in the United States were not likely to facilitate the task of investors who seek to understand the extent of future interest rate hikes that will be carried out next year to control inflation.
The producer price index (PPI) for November came out up 0.3% over one month, above expectations, but over one year the rise in prices slowed to 7.4% once morest 8.1 % in October.
As for the confidence of American consumers, it recovered in December, when analysts expected it to drop, but remained at a historically low level, according to the preliminary estimate from the University of Michigan published on Friday.
Households’ twelve-month inflation expectations have improved but remain high.
“The big slowdown is ahead of us for growth but that of inflation should follow”, according to the note from Natixis CIB Research.
Antoine Arnault takes the lead
The son of Bernard Arnault, Antoine, was appointed managing director of the holding company which controls LVMH (+0.18% to 720.30 euros), Dior SE, on Friday, replacing Sidney Toledano.
TotalEnergies distances itself from the Russian Novatek
The French giant TotalEnergies announced Friday to withdraw its directors from the Russian Novatek and no longer recognize in its results the 19.4% it holds in the gas giant, consequently providing for an asset impairment of 3.7 billion dollars in fourth trimester. The action fell 0.92% to 56.29 euros.
Worldline degraded
The Worldline payment specialist lost 3.68% to 41.13 euros, the largest drop in the CAC 40 following JPMorgan downgraded its outlook for the company in a note quoted by the Bloomberg news agency.
