PARIS (Reuters) – The main European stock markets are expected to fall at the opening on Thursday before the publication of a series of indicators on Thursday and Friday, calling for caution.

The first available indications indicate that the Parisian CAC 40 would be down 0.33% at the opening. Futures contracts on the FTSE in London suggest a drop at the opening of 0.54%, compared to 0.39% for the Dax in Frankfurt, and 0.51% for the EuroStoxx 50.

Investors will be attentive on Thursday to industrial production in Germany, expected at 07:00 GMT and which could rebound in October, to revised GDP for the third quarter in the euro zone at 10:00 GMT, and to jobless claims in the United States at 1:30 p.m. GMT.

But the most anticipated indicator this week will be the monthly report on non-farm employment, released Friday at 1:30 p.m. GMT by the Labor Department.

The markets are already factoring in more than 150 basis points of key rate cuts from the Federal Reserve in 2024, according to the Fedwatch tool, but these expectations are based on a continued slowdown in activity in the United States.

Any upward surprise on the indicator published on Friday could put pressure on prices.

Elsewhere, the pace of growth of Chinese exports increased for the first time in six months, but investors remain cautious after Moody’s lowered its credit outlook on the country to “negative”.

VALUES TO FOLLOW:

A WALL STREET

The New York Stock Exchange ended lower on Wednesday, penalized by the largest capitalizations and the energy sector, even if the publication of indicators showing a deceleration of the employment market in the United States fueled hopes of an upcoming rate cut from the Federal Reserve.

The Dow Jones index fell 0.19%, or 70.13 points, to 36,054.43 points. The broader S&P-500 lost 17.84 points, or 0.39%, to 4,549.34 points. The Nasdaq Composite fell 83.2 points (-0.58%) to 14,146.71 points.

IN ASIA

The Tokyo Stock Exchange ended lower on Thursday, in the wake of Wall Street, as investors waited for US employment data which could indicate the start date of the reduction in interest rates by the Federal Reserve. The Nikkei index lost 1.76% to 32,858.31 points and the broader Topix lost 1.14% to 2,359.92 points.

Semiconductor-related stocks fell, with Advantest losing 4.69% and Tokyo Electron 3.59%.

Chinese indexes neared a five-year low during the session, after Moody’s credit outlook for China was lowered. The Shanghai SSE Composite is directionless, the CSI 300 loses 0.22%, the Hong Kong Hang Seng index 1.06%.

RATE

US yields are moving forward in a wait-and-see environment.

The ten-year Treasury yield rose 5.5 bps to 4.1761%, while the two-year rate rose 3.1 bps to 4.6341%.

CHANGES

Currency markets are calm ahead of Friday’s release of the nonfarm payrolls report, while the yen strengthens after comments from Bank of Japan Governor Kazuo Ueda, who outlined several scenarios for key interest rates. the central bank.

The dollar is standing still against a basket of reference currencies, while the euro remains at $1.0759, and the pound sterling loses 0.08% to $1.2549.

In Asia, the yen strengthened by 0.59% to 146.44 yen per dollar, while the Australian dollar fell by 0.18% to 0.6537 dollars.

OIL

Oil rebounds after hitting a six-month low on Wednesday, as markets worry about the state of demand in the United States after diesel inventories increased by 5.4 million barrels last week, according to figures from the Energy Information Administration on Wednesday.

Brent advanced 0.38% to $74.58 per barrel, with American light crude (West Texas Intermediate, WTI) gaining 0.36% to $69.63.

(Written by Corentin Chappron, edited by)

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