by Claude Chendjou

PARIS (Reuters) – Wall Street is expected to rise on Tuesday and European stocks are also moving in the green mid-session, the uptrend being supported by Chinese economic statistics and the results of major US banks.

Futures on New York indices signal an opening of Wall Street up 0.43% for the Dow Jones, 0.42% for the Standard & Poor’s 500 and 0.59% for the Nasdaq.

In Paris, the CAC 40, which on Monday reached a historic record in session at 7,552 points, gained 0.66% to 7,547.6 around 11:00 GMT. In Frankfurt, the Dax advances by 0.63% and in London, the FTSE takes 0.28%.

The pan-European FTSEurofirst 300 index rose by 0.54%, the EuroStoxx 50 for the euro zone by 0.8%. The Stoxx 600, which recorded five consecutive sessions in the green before ending stable on Monday, gained 0.53% while the volatility index in Europe fell 6.69% to 16.28 points, at most low since November.

China’s economy recorded 4.5 percent year-on-year growth in the first quarter, a faster pace than expected, thanks to the end of COVID-19 restrictions, official data showed on Tuesday.

Other Chinese data shows industrial production rose 3.9% in March, while retail sales rose 10.6% last month.

In financial publications, Bank of America Corp on Tuesday reported a first-quarter profit surge to $7.66 billion on the heels of better-than-expected results released last week by Citigroup, JPMorgan Chase & Co and Wells Fargo & Co.

On the economic indicators side, a statistics on real estate in the United States scheduled for 12:30 GMT will provide new elements on the evolution of the economy, while in Europe, the morale of investors in Germany recorded a surprise deterioration in April with a ZEW index at 4.1 after 13.0 in March. WALL STREET VALUES TO FOLLOW

In pre-market, Bank of America takes 1.8%% and Goldman Sachs 1.4%.

VALUES IN EUROPE

In Europe, the increase was led in particular by the banking (+1.6%), new technologies (+1.32%), basic resources (+1.54%) and personal consumer goods ( +0.54%).

In Paris, Societe Generale (+2.68%), BNP Paribas (+2.21%) and Capgemini (+1.74%) form the top three on the CAC 40.

UBS takes 1.47% after announcing changes to its six billion dollar share buyback program following its takeover by Credit Suisse (+2.27%).

In terms of business results, Lagardère is in the green thanks to a quarterly turnover up 24.4% while Virbac fell 4.51% after a drop in sales in the first quarter.

Elsewhere in Europe EasyJet, optimistic about its annual profit forecast, gained 0.98%, while that of Ericsson, considered disappointing, plunged the stock by 6.6%.

CHANGES

The dollar fell 0.41% against a basket of currencies after better than expected Chinese indicators.

The euro is trading at 1.0975 dollars (+0.45%).

The pound sterling is displayed at 1.2438 dollars (+0.48%) despite an increase in the unemployment rate in the United Kingdom over the three months to February. However, wage growth accelerated during this period, which could argue for a further rise in interest rates in May.

RATE

The ten-year German Bund yield fell slightly to 2.476% after hitting 2.5% in the morning, the highest since March 15, as investors anticipate further rate hikes from the European Central Bank (ECB).

The yield on ten-year Treasuries is almost unchanged, at 3.5908%.

OIL

Oil prices fall slightly as data from China fails to offset concerns over the economy: Brent falls 0.13% to $84.65 a barrel and US light crude (West Texas Intermediate, WTI) 0 .21% to $80.66.

(Written by Claude Chendjou, edited by Blandine Hénault)

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