(Reuters) – The main European stock markets are expected to decline on Tuesday at the opening, in a wait-and-see context before the publication of inflation data in the United States on Tuesday.

The first available indications indicate that the Parisian CAC 40 would not show a marked opening trend. Futures contracts on the FTSE in London suggest a decline at the opening of 0.15%, against a Dax in Frankfurt and a EuroStoxx 50 without clear direction.

Investors are awaiting new indicator publications this week, which will allow them to refine the medium-term key rate outlook.

In fact, if the latest central bank meetings have sent a message deemed accommodating by the markets, many monetary policy makers have endeavored to temper investors’ optimism by highlighting the risks of persistent inflation.

As such, the inflation data published at 1:30 p.m. GMT in the United States will be closely followed by the markets: investors are counting on an identical inflation figure for October and September (growth of 4.1% over one year). and 0.3% over one month), but any surprises, upwards or downwards, could have a disproportionate impact on the markets.

Adding to the caution, China published weak credit demand indicators, raising fears that activity in the world’s second-largest economy could run out of steam.

On Tuesday, the ZEW Investor Sentiment Index and revised Eurozone GDP will also be released at 10:00 GMT.

A WALL STREET

The New York Stock Exchange ended Monday in scattered order and with limited variations at the end of a session dominated by caution on the eve of the publication of inflation figures for October in the United States, which could influence on the evolution of the Federal Reserve’s rate policy.

The Dow Jones index gained 0.16%, or 54.77 points, to 34,337.87 points. The broader S&P-500 fell 3.69 points, or 0.08%, to 4,411.55 points. The Nasdaq Composite fell 30.37 points (-0.22%) to 13,767.74 points.

IN ASIA

The Tokyo Stock Exchange ended higher on Tuesday, boosted by investor optimism about the prospects of Japanese companies and the weakness of the yen against the dollar. The Nikkei index gained 0.34% to 32,695.93 points and the broader Topix gained 0.37% to 2,345.29 points.

Mizuho Financial Group rose 3.17% after raising its full-year profit forecast due to a weaker yen and a more favorable outlook for the economy.

Chinese indices are hesitant after the publication of indicators suggesting weak credit demand and a slowdown in the economic recovery. The Shanghai SSE Composite gained 0.1%, the CSI 300 lost 0.13%, and the Hong Kong Hang Seng index showed no clear direction.

RATE

US yields are stable before the publication of inflation in the United States, which could have a significant impact on market rate expectations.

The ten-year Treasury yield is unchanged at 4.63%, the two-year rate remains at 5.0411%.

CHANGES

The dollar strengthens moderately in a wait-and-see context before the publication of inflation in the United States.

The dollar gained 0.07% against a basket of reference currencies, while the euro lost 0.03% to 1.0694 dollars, and the pound sterling 0.09% to 1.2267 dollars.

In Asia, the yen is standing still at 151.71 yen per dollar, while the Australian dollar drops 0.20% to 0.6367 dollars.

OIL

Oil is up moderately after the publication of an OPEC report suggesting that demand remains robust, while markets worry about possible tensions on supply, as the United States calls for better controls on exports of Russian crude.

Brent rose 0.24% to $82.72 per barrel, with American light crude (West Texas Intermediate, WTI) gaining 0.22% to $78.43.

Copyright © 2023 Thomson Reuters