(News Bulletin 247) – The Paris Stock Exchange retreats calmly, pending the examination of the agreement on the debt of the United States by the American Congress. The CAC 40 lost ground at midday below 7300 points.

The Paris Stock Exchange limits the taking of initiatives on Tuesday. Investors are watching for any progress on the review of the agreement passed this weekend between Democrats and Republicans.

At mid-session, the CAC 40 remains anchored in a cautious trend and fell 0.28%, below 7300 points to 7283.60 points. Monday, the flagship index of the Parisian place had conceded 0.21% to 7,303.81 points, in anemic volumes, with only 1.47 billion euros exchanged, in the absence of many investors who left to take the key to fields for Pentecost.

The market is therefore struggling to take the path of the rise while the agreement between Republicans and Democrats to raise the debt ceiling has yet to pass the caudine pitchforks of Congress, where each camp could assert its dissatisfaction with the compromise found. The vote will take place on Wednesday in the House of Representatives, then a priori Friday or Saturday in the Senate, according to the leader of the Democrats, Charles Schumer, quoted by AFP.

Regarding the other major events of the week, the most important will take place on Friday with the publication of the US employment report for the month of May. This is important data for gauging the Fed’s conduct on its future monetary policy as the forecasts lean in favor of another key rate hike in June.

“The market expects two things at this stage: to see if this agreement will be passed by Congress on the one hand and the second thing being that the problem of persistent inflation refers to the next decision of the American central bank (Fed ) in mid-June”, which risks raising its key rates further, explains Alexandre Baradez, quoted by AFP.

Still on the macroeconomic chapter, operators took note of a sharp decline in inflation in Spain, with consumer prices rising by 2.9% year on year in May, after 3.8% on an annual basis in April. . Inflation figures for the euro zone as a whole will be due on Thursday.

Valneva awaits Canadian green light for its vaccine

As for several sessions already, the news on the corporate front is reduced to a bare minimum. We can note the 1.8% increase of Valneva, which indicated that it had filed an application for marketing authorization for its candidate vaccine against chikungunya, a disease transmitted by mosquitoes, with Health Canada.

Valeo is up 1.4%, the automotive supplier announced on Monday a “strategic cooperation and investment agreement” with the Chinese Didi Autonomous Driving to develop safety solutions for autonomous taxis

On the other hand, Nexity lost 5.6% penalized by an analyst downgrade. AlphaValue indeed lowers its recommendation to sell on the title of the real estate developer as well as its target price to 16.50 euros against 23.20 euros previously.

On other markets, the euro fell 0.1% to 1.0699 dollars. For its part, oil is falling again. The contract for July on Brent from the North Sea fell 2% to 75.58 dollars a barrel while that of the same term on WTI listed in New York fell 1.9% to 71.30 dollars a barrel.