The Paris Bourse ended the session with a gain of 0.39%, at 7,423 points, driven by Publicis (+3.7%) and Safran (+2.1%), but held back by Teleperformance (-2.7%) and TotalEnergies (-1.6%).

Closely watched by the markets, the US consumer price index rose by 2.7% in November 2024 compared with the same month in 2023, an annual rate in line with expectations and up 0.1 points on October.

Excluding energy (-3.2%) and food (+2.4%), two traditionally volatile categories, the underlying annual inflation rate came out at 3.3% last month, a level also in line with economists' forecasts.

The markets are now awaiting the ECB's decision, with analysts expecting a further 25 basis point cut in the main key rates.

Some also believe that it is the Frankfurt-based institution's updated economic forecasts that will be the key element of the meeting.

Indeed, a possible upward revision of the growth estimate for the eurozone, currently set at 1.3% for 2025, could herald an acceleration of the current monetary easing.

If the ECB removes its famous phrase 'rates will be kept sufficiently restrictive for as long as necessary' from its statement, this will herald a new ECB objective of rapidly lowering its key rate to its neutral level", analyzes Patrick Barbe, at Neuberger Berman.

The bond market was little changed, with the spread between the yield on 10-year German Bunds (2.128%, or +1Pt) and that on OATs of the same maturity (2.886%, or +2Pts) widening by +1Pt to 77Pts.
On the other side of the Atlantic, the yield on ten-year Treasuries, the benchmark for US borrowing costs, rose by +3 basis points to 4.253%.

The euro lost 0.2% against the greenback to $1.050/E.

On the energy market, Brent crude oil advanced by 1.4% to $73 a barrel. In the afternoon, the U.S. Energy Information Administration (EIA) reported a slight decline in U.S. crude oil inventories, which stood at 422 million barrels for the week ending December 2, down 1.4 million barrels on the previous week.

In French company news, STMicroelectronics on Wednesday unveiled the first product to emerge from its strategic collaboration with US company Qualcomm, a new component designed to simplify the development of wireless applications for the industrial and Internet of Things (IoT) sectors.

ArcelorMittal announced on Wednesday the launch of a bond issue for a total amount of one billion euros, intended in particular to refinance its debt. Two tranches of 500 ME maturing in 2028 and 2031 have been issued, with coupons of 3.125% and 3.50% respectively.

TotalEnergies and its partner OQ Alternative Energy (OQAE) announce the signature of major agreements to develop 300 MW of renewable energy projects in the country.

Last but not least, EDF announces an upward revision of its estimated range for nuclear production in France in 2024 from 340-360 TWh to 358-364 TWh.

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