PARIS (Reuters) – European stock markets are expected to rise on Friday before the publication of a crucial US employment report and the day after a meeting of the European Central Bank (ECB), which reassured markets on the trajectory rates in the euro zone.

According to the first available indications, the Parisian CAC 40 is up 0.15% at the opening. Futures contracts suggest an opening advance of 0.14% for the FTSE in London, 0.16% for the Dax in Frankfurt and 0.24% for the EuroStoxx 50.

The monthly employment report, released at 1:30 p.m. GMT by the Labor Department, will give investors a complete view of the US labor market, whose robustness has been one of the main factors of inflation in recent months .

As indicators signaling a slowdown in inflationary pressures multiply, figures in line with consensus or lower than expected could further support risky assets, already buoyed this week by a speech to Congress by Federal Reserve Chairman Jerome Powell, judged more accommodating than expected.

In the euro zone, investors welcome the latest decision from the ECB which confirmed that inflation was returning to its target and that it could lower its rates from June.

A WALL STREET

The New York Stock Exchange ended higher on Thursday, driven by technology and high-growth stocks, with the S&P-500 climbing to a record close amid heightened optimism about lower interest rates after the statements of the president of the Fed.

The Dow Jones index gained 0.34%, or 130.30 points, to 38,791.35 points. The broader S&P-500 gained 52.60 points, or 1.03%, to 5,157.36 points. The Nasdaq Composite advanced 241.83 points (1.51%) to 16,273.38 points.

High-growth stocks were among the session’s catalysts, with Meta gaining 3.2% while Nvidia rose 4.5%.

IN ASIA

The Tokyo Stock Exchange ended up on Friday, supported by technology stocks in the wake of Wall Street. The Nikkei index gained 0.23% to 39,688.94 points and the broader Topix gained 0.28% to 2,726.23 points.

Chipmaking equipment maker Tokyo Electron gained 0.81%.

Chinese stocks are rising, in the wake of Asian markets. The Shanghai SSE Composite takes 0.3%, the CSI 300 0.11%, the Hong Kong Hang Seng index 1.51%.

RATE

US yields erode before the publication of the US employment report.

The ten-year Treasury yield fell 1 basis point to 4.0827%, while the two-year rate fell 1.3 bps to 4.5007%.

CHANGES

The foreign exchange markets are wait-and-see.

The yen nibbles 0.04% to 147.97 yen per dollar, while the Australian dollar gains 0.2% to 0.6629 dollars.

The dollar declined by 0.04% against a basket of reference currencies, while the euro was stable at $1.0947. The pound sterling remains at $1.2803.

OIL

Data from the U.S. Energy Information Administration showed Thursday that U.S. refined product inventories fell more than expected last week, while China’s oil imports rose 5.1 percent in both years. first months of 2024, two sets of data showing that oil demand remains strong in both economies.

Brent rose 0.57% to $83.43 per barrel, with American light crude (West Texas Intermediate, WTI) gaining 0.72% to $79.5.

(Written by Corentin Chappron)

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