(News Bulletin 247) – The CAC 40 is falling mid-session this Tuesday, awaiting inflation figures at the end of the week.

The Paris Stock Exchange avoids risk-taking this Tuesday. The CAC 40 dropped 0.58% to 8,085.45 points at mid-session.

A certain caution is observed as important data on inflation will be published at the end of the week (Friday) both in Europe and in the United States.

“Market sentiment towards riskier assets remains positive overall, with investors remaining confident despite continued uncertainty on the economic and geopolitical fronts,” observes Pierre Veyret, technical analyst at ActivTrades.

The consumer price index, the main measure of inflation, which will be published Friday morning in the euro zone, will be particularly watched, while the European Central Bank (ECB) will hold its monetary policy meeting next week.

The good touch of Aramis

“Investors are betting heavily that the ECB will cut its benchmark deposit rate by a quarter of a percentage point from its record low of 4% at next week’s meeting, after inflation in the eurozone has fallen close to the bank’s 2% target,” observes John Plassard of Mirabaud. “Next steps are less clear for the ECB, with markets expecting policymakers to pause in July and resume cuts in September,” he adds.

In this context, the ECB published its monthly survey on consumers’ inflation expectations on Tuesday. This survey showed a decline in these same expectations in April, to 2.9%, the lowest level since September 2021, according to Reuters.

On the value side, Renault recorded the largest increase in the CAC 40 with an increase of 2.6%. Hermès hardly benefits from an increase in recommendation to “outperform” from Bernstein, dropping 0.5%.

The headline of the day is signed by the specialist in the sale of used vehicles Aramis, which takes 10.5% after publishing its half-year results and raising its outlook for its current financial year.

Planisware rebounded by 3%, after a double initiation of purchasing coverage by Bernstein and Citigroup.

On other markets, the euro gained 0.2% against the dollar to 1.088 dollars. Oil is growing. The July contract on North Sea Brent advanced 0.2% to $83.05 per barrel while that of the same maturity on WTI listed in New York gained 1.6% to $78.96 per barrel.