by Claude Chendjou

PARIS (Reuters) – The European scholarships, apart from London, ended up on Thursday after a hesitant session marked by a new outbreak of bond yields in the euro zone and the decision of monetary policy of the European Central Bank (ECB).

In Paris, the CAC 40 ended on a gain of 0.29% to 8,197.67 points. The German Dax increased by 1.59%, registering a record in a record at 23,475.88 points. The British Footsie fell 0.83%, penalized in particular by energy -related values.

The Eurostoxx 50 index won 0.82% and the FTSEUROFIT 300 nibbled 0.08%. The Stoxx 600 took 0.74%, approaching its record of 565.18 points, after having switched time in the red.

At the time of the fence in Europe, the Dow Jones fell 0.83%, the Standard & Poor’s 500 of 1.37% and the Nasdaq of 1.78% against a background of concern about the prospects of the American economy and the customs duties wanted by President Donald Trump.

The United States’s trade deficit has been dug in January at an unprecedented level, due to a sharp increase in imports upstream of the entry into force of new customs duties, suggesting that trade could weigh on economic growth in the first quarter.

The publication on Friday of the official monthly report on job creations, the unemployment rate and wages will constitute a new test while the volatility index at Wall Street, considered as the fear barometer, climbs on Thursday by more than 5% to around 23 points.

The negative trend on the New York Stock Exchange is also fed by the forecasts deemed disappointing of Marvell (-16.67%) which weigh on the semiconductors’ compartment before publication in the evening of the Broadcom results (-4.11%), another heavyweight in the sector.

In Germany, if the announcement of an agreement in the reform of the debt brake is hoped for an increase in defense expenses and an acceleration of growth in the euro zone, this continues to cause tensions in the bond compartment, which puts pressure on shares.

In order not to make sure, the ECB, which lowered as expected its 2.5%deposit rate, published new economic forecasts on Thursday which do not take into account the vast European investment plan in the defense or the risks of a trade war with the United States.

“Risks remain in Europe, but overheating of the economy is not at the top of the list. Interest rates could fall up to 2% in 2025,” said Michael Field, Stratège chef at Morningstar.

RATE

The yield of the German Bund at ten years took 9.9 base points, at 2.884%, after having already jumped 30 base points on Wednesday, the highest increase in a single session in more than 25 years. Investors are preparing for a sharp increase in the supply of BUNDs in a context of increased budgetary expenses.

The yield of American treasury bills rises from 5.2 base points to 4.3187%, after the compromise found between United States and Mexico on customs duties. After a discussion between Donald Trump and Mexican Presidency Claudia Sheinbaum, the two leaders announced Thursday that Mexico would not be required to pay customs duties on all the goods concerned by the Canada-United States-Mexico (ACEUM) Agreement on Trade until April 2.

Donald Trump did not say what it was for Canada. Canadian Prime Minister Justin Trudeau warned on Thursday that Canada was going to continue to be at the trade war with the United States in the foreseeable future.

Changes

The euro reached its highest level in four months on Thursday, at 1.0854 dollars, the ECB having revised upwards its short -term inflation forecasts. The European single currency has won 4.5% since the start of the week, which should allow it to achieve its best weekly performance since May 2009.

In addition to the ECB’s announcements, it benefits from the weakening of the dollar, penalized by concerns about the trade policy of the United States which could have serious impact on economic growth and inflation.

The greenback is falling by 0.33% against a basket of international currencies.

Values ​​in Europe

Nexans fell 6.3% after press information that admitted, a client of the industrial cable specialist, suspended his payments due to the presumed interference of Turkey in the Great Sea Interconnector project. The group denied in a press release published after the fence.

FDJ United, the new name of La Française des Jeux after the acquisition of Kindred in 2024, dropped by 11.08%. The group said it said for the current tax financial year of stable results due to the sharp increase in taxation on games of money and chance in France and the Netherlands.

JCDecaux flew by 13.86%, the fourth quarter and the forecast of the current quarter of the urban advertising furniture group being welcomed.

Air France-KLM climbed 32.95% after having improved its results in the fourth quarter thanks to costs management and the increase in the number of passengers.

Lufthansa took 12.22%, the annual operating profit of the German air carrier having exceeded expectations.

DHL jumped 14.19% after announcing its intention to remove approximately 8,000 jobs in Germany this year against the backdrop of its annual operating profit.

The indicators of the day

Unemployment registrations decreased in the United States last week, to 221,000 against 242,000 in the previous week, according to the Department of Labor.

Retail sales in the euro zone unexpectedly fell from one month to the next in January, by 0.3%, according to Eurostat, the European Union Statistical Office.

OIL

The petroleum market is receding Thursday in volatile exchanges due to American customs duties and OPEC+ projects to increase its production.

Brent loses 0.61% at 68.91 dollars per barrel and light American crude (West Texas Intermediate, WTI) declines 0.74% to $ 65.81.

(Written by Claude Chendjou, edited by Blandine Hénault)

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