PARIS (Reuters) – Major European stock markets opened higher on Friday as investors positioned themselves for the Federal Reserve’s next monetary policy decision on Sept. 18.
In Paris, the CAC 40 rose by 0.29% to 7,456.97 points at around 07:07 GMT. The Dax in Frankfurt strengthened by 0.28%, while the FTSE in London rose by 0.15%.
The pan-European FTSEurofirst 300 index gained 0.42%, the EuroStoxx 50 gained 0.28% and the Stoxx 600 increased by 0.42%.
Traders are digesting the latest indicators from the United States, which do not offer a clear direction on the American economic trajectory.
Indeed, while the employment data suggests a weakening in labor markets, which is now the Fed’s focus, inflation remains and could justify a cautious 25 basis point cut next Wednesday.
The slowdown in job creation and, on Friday, two articles in the Financial Times and the Wall Street Journal suggesting that the American central bank could cut its rates by 50bp, are however pushing some operators to bet on a bigger cut than expected.
Money markets give equal probability to both decisions.
Valneva’s shares fell 10.8% after announcing on Friday that it was raising 60 million euros through a capital increase.
Worldine fell 11.1% after the group announced on Friday the departure of its CEO and lowered its outlook for 2024.
(Written by Corentin Chappron, edited by Sophie Louet)
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