The Fed's decision, followed by remarks from its chairman Jerome Powell, were the highlights last night in the United States. Key rates remain in the range of 3.50 to 3.75%, after three consecutive reductions at as many meetings in 2025.

Under scrutiny from President Donald Trump, the Fed chair justified his decision by explaining that "the current level of rates is appropriate to balance US growth and inflation."

At a press conference, Powell once again insisted he would not be intimidated by the US president, with whom relations have become increasingly strained. Powell strongly defended the independence of the institution and reiterated that monetary decisions should not be dictated by political motives or election cycles.

Analysts were quick to react to the decision.

"Inflation remains persistent, while budget deficits remain high and net wealth continues to reach new records. In this context, neither the Fed nor the markets are in a hurry to see lower policy rates before, at the earliest, the summer. Expect a flattening of the yield curve, with long-term bonds expected to outperform," said Jack McIntyre, portfolio manager at Brandywine Global (a subsidiary of Franklin Templeton).

For John Plassard, head of investment strategy at Cité Gestion, Jerome Powell was clear at the press conference: "This is not a turning point, but a deliberate pause, indicating that any future moves will depend exclusively on economic data. Markets quickly absorbed this message: this scenario points to a prolonged halt, not the prelude to a new cycle of cuts."

Rémy Cointreau Leads the SBF 120, Eurofins Scientific Brings Up the Rear on the CAC 40

 This morning in Paris, a number of stocks stood out after reporting their annual performance.

Rémy Cointreau claimed the top spot on the SBF 120. The share surged nearly 6% thanks to sales that were slightly above expectations for the third quarter of its 2025-2026 off-year. The cognac specialist subsequently reaffirmed its targets, still aiming for organic revenue growth "between 0-3%." Its rival Pernod Ricard also benefited, posting one of the CAC 40's strongest gains with a rise close to 4%.

Sanofi slipped slightly despite higher profits and sales in the fourth quarter of 2025. For 2026, the pharmaceutical company expects sales growth at constant exchange rates to be in the high single digits. Adjusted net earnings per share are expected to grow "slightly faster than sales."

Eurofins Scientific (-3.8%) recorded the largest drop on the CAC 40 despite strong results for the 2025 financial year. The laboratory, specializing in food and pharmaceutical analysis, confirmed its target for long-term average annual organic growth of 6.5%.
In Europe, British airline Easyjet posted an adjusted pre-tax net loss of £93 million for the first quarter of its 2026 fiscal year (ended December 31, 2025), compared with a loss of £61 million a year earlier, a deterioration of 52%. The stock advanced on the back of maintained forecasts.

Amid this flurry of results, investors will also be watching the eurozone consumer confidence index for January and the business climate index for the same period at 11:00 a.m.