The Paris stock market gained nearly 0.5% this morning, around 7,685 points, driven by L'Oréal (+2.1%), URW (+2%) and Renault (+1.9%).

Investors are counting on the series of economic indicators expected in the coming days to maintain the upward momentum in place since the start of the year.

The strength of the US economy has surprised in recent weeks, particularly in terms of employment, suggesting that growth remains solid across the Atlantic despite fears of a coming recession.

The resilience of activity has so far overshadowed tensions on the bond front, with the yield on ten-year Treasuries peaking at almost 4.19%, the highest since the start of the year.

In Europe, economic activity seems to have come to a standstill since the summer, which seems to justify the discount in terms of valuation that equities on the Old Continent are showing compared with their US counterparts.

Tomorrow, the market will learn of the US consumer price index, which is expected to have slowed in January, confirming the prospect of further monetary easing.

Other important indicators will follow, such as import prices and retail sales on Thursday, before Michigan consumer confidence on Friday.

On the other hand, better-than-expected indicators could dampen enthusiasm for equities, lest they prompt the Federal Reserve to postpone future rate cuts.

Several Fed officials have recently pushed back the horizon for rate easing, with perhaps no more than two to three rate cuts envisaged for 2024, in view of singularly robust growth.

The other hoped-for catalyst could come from companies, with the fourth-quarter earnings release season set to continue in the days ahead.

While announcements are likely to be fewer in number in the US, several leading groups such as Coca-Cola, Kraft Heinz, Cisco and Applied Materials are scheduled to unveil their accounts this week.

In Europe, on the other hand, the pace is set to quicken, particularly in France, where EssilorLuxottica, Capgemini, Airbus, Schneider Electric, Safran, Stellantis, Pernod Ricard, Orange and Renault are all due to publish in the next few days.

In French company news, ACC (Automotive Cells Company), the electric vehicle battery joint venture between Stellantis, Mercedes-Benz and Saft (a subsidiary of TotalEnergies), announces the closing of a €4.4 billion debt-raising, guaranteed by a consortium of commercial banks.

Quadient announces that it has reached a new milestone in the development of its network of connected parcel lockers, with over 20.000 Parcel Pending by Quadient units installed in North America, Europe and Asia by the end of January 2024.

Finally, Gaussin announces that it has received a unilateral promise from Macnica to purchase all its shares and receivables in their GAMA joint venture, dedicated to autonomous, zero-emission mobility for the transport of people and goods.

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