PARIS (Reuters) – The main European stock markets are on the rise on Tuesday morning, the rebound started the day before thanks to announcements from China continuing, in the hope of a publication in the United States of indicators showing the effectiveness of the Fed’s monetary policy.

In Paris, the CAC 40 took 0.21% to 7,339.81 points around 07:50 GMT. In London, the FTSE 100, closed since Friday, jumped 1.73% for its start of the week. In Frankfurt, the Dax gains 0.34%.

The EuroStoxx 50 index rose by 0.20%, the FTSEurofirst 300 by 0.85% and the Stoxx 600 by 0.56%.

Futures contracts on Wall Street predict a rise of 0.16% for the Dow Jones, 0.14% for the Standard & Poor’s 500 and 0.18% for the Nasdaq the day after a session in the green drawn notably by 3M (+5.2%) and Goldman Sachs (+1.8%).

Moderate optimism has been blowing through financial markets since China announced a halving of stamp duty on local stock exchanges, rekindling hopes for broader measures to support its economy.

At the same time, investors expect the official monthly report on US employment to be published at the end of the week to confirm a slowdown in wage pressures and job creations, signs of the effectiveness of the restrictive policy initiated since March 2022 by the US Federal Reserve.

The “Jolts” survey (Job Openings and Labor Turnover Survey) on job offers in the United States, whose publication is scheduled for this Tuesday at 2:00 p.m. GMT, will constitute in this respect a first test to gauge this optimism, before the publication on Thursday of the personal consumption expenditure (PCE) price index in the United States.

In Europe, investors will also take note this week of the monthly inflation figures, those of Germany being scheduled for Wednesday. A deceleration in prices in the euro zone is also expected according to the Reuters consensus.

On the stock market, the positive trend in Europe is driven by real estate (+1.72%) and basic resources (+1.59%). This sub-fund benefits from the rise in copper prices in the prospect of sustained demand in China and a slight fall in the dollar.

On the Parisian CAC 40, Unibail-Rodamco-Westfield (1.35%) signs the best performance of the index while Carrefour (-2.6%) shows the biggest drop.

In business news, NN Group jumped 10.65% as the Dutch insurer reported on Tuesday an improvement in its solvency ratio in the first half.

Telecom Italia takes 1.34% while Rome on Monday approved two decrees allowing the Ministry of the Economy to take a stake of up to 20% in the fixed network of the Italian telecom operator.

(Written by Claude Chendjou, edited by Kate Entringer)

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