PARIS (Reuters) – The main European stock markets are trending downward on Monday morning at the start of the last week of a quarter where investors are digesting the recent monetary policy decisions of the major central banks before the publication of financial figures. inflation in the euro zone and the United States.

In Paris, the CAC 40 lost 0.04% to 7,182.17 points around 07:20 GMT. In London, the FTSE 100 fell by 0.33% and in Frankfurt, the Dax lost 0.07%.

The EuroStoxx 50 index fell by 0.06%, the FTSEurofirst 300 by 0.28% and the Stoxx 600 by 0.12%.

Futures contracts on Wall Street foreshadow a slight rebound for the Dow Jones, the Standard & Poor’s 500 and the Nasdaq after a session in the red on Friday marked by tensions on long US bond yields, currently close to a peak of 16 years, and strengthening of the dollar, to a six-month peak.

The American 10-year rate rose 2.5 basis points on Monday, to 4.4662, and its German equivalent two points, to 2.756%.

Tensions on the bond market can be explained by announcements from the US Federal Reserve (Fed) last week which highlighted that interest rates would remain high for a long time. Other major central banks followed suit, insisting in turn that the fight against inflation was far from over.

New data on consumer prices in the euro zone and the PCE price index in the United States, the Fed’s preferred measure of inflation, will be published on Friday while the rest of the week will be marked by a myriad of other macroeconomic statistics likely to provide indications on the evolution of the situation and rates.

Before that, several central bankers are due to speak this Monday, including Christine Lagarde, the president of the European Central Bank (ECB), and Neel Kashkari, the president of the Minneapolis Fed.

On the stock market, the oil and gas compartment (-0.13%), as well as that of basic resources (-1.66%) are in the red while S&P lowered its forecast for China’s economic growth on Monday for this year, at 4.8% compared to 5.2% previously.

The new setbacks of the real estate developer Evergrande, which says it is incapable of issuing new bonds, are also weighing.

All major sectors of the Stoxx 600 fell, with the exception of the defensive health sector which gained 0.15%.

In terms of values, stocks like Ubisoft (+5.33%) offer a little support to Paris, Exane BNP Paribas being “outperforming” on the video game publisher.

Valneva gains 3.93% thanks to a contract with the American administration for its Ixiaro vaccine against Japanese encephalitis.

Telecom Italia (TIM) fell 0.2%, the American fund KKR having asked the Italian telecoms operator to extend the deadline to October 15 to submit a firm offer on its fixed network.

(Written by Claude Chendjou, edited by Blandine Hénault)

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