(News Bulletin 247) – The Paris Stock Exchange experienced a bumpy ride after the US inflation figures for the month of January. The battle against rising prices is not yet won. The CAC 40 closed up a symbolic 0.07%.
The inflation figures had their small effect on the direction of the indices on Tuesday. Up 0.5% at midday, the Paris Stock Exchange quickly turned down before regaining its spirits a little, after inflation which is still very high in the United States.
The CAC 40 closes timidly up 0.07% to 7,213.81 points. On Monday, the flagship index rebounded more than 1%. On Wall Street, the same erratic movement was observed. The major indices opened lower before rising and then falling again at the close of the European markets.
Inflation in the United States for the month of January was not as well controlled as expected. Consumer prices rose 6.4% year on year, after 6.5% in December and against a 6.2% increase forecast by economists polled by the Wall Street Journal. And on a monthly basis, prices rose by 0.5%.
Excluding food and energy prices, so-called “core” inflation slowed to 0.4% over one month but less than expected, and amounted to 5.6% over one year against 5.5 % expected. “Yes, inflation is slowing, but no, it won’t be a long calm river,” warned Gregory Daco, chief economist for EY Parthenon, quoted by AFP.
On the values front, corporate results dictate the trend. Michelin manages to end the session in the green (+0.07%) despite the announcement of a free cash outflow of 180 million euros, compared with a positive flow in 2021 of 1.36 billion euros .
The market zaps TF1 in favor of M6
In the media sector, TF1 lost 4% while M6 gained 1.2%. The sixth channel unveiled results above expectations while the accounts of the first are simply in line with analysts’ expectations. The two companies have also decided to focus on streaming after the failure of their merger.
Beneteau picked up 5% after posting a 56.6% jump in sales in the fourth quarter.
Poujoulat ends up in balance while the European leader in combustion smoke evacuation devices recorded growth of more than 40% between October and December last.
On the other markets, the euro lost 0.14% against the dollar at 1.0716 dollars. Oil prices remain on a downward trend. The April contract on Brent from the North Sea for delivery in April, lost 1.5% to 85.34 dollars a barrel while that of March on WTI quoted in New York yielded 1.6% to 78, $85 a barrel.
I have over 8 years of experience working in the news industry. I have worked as a reporter, editor, and now managing editor at 247 News Agency. I am responsible for the day-to-day operations of the news website and overseeing all of the content that is published. I also write a column for the website, covering mostly market news.