(BFM Stock Exchange) – The Parisian star index is coming down on Tuesday, May 6, after the election in the second round of Friedrich Merz as Chancellor in Germany, and on the eve of the decision of the monetary policy of the American Federal Reserve.

The atmosphere on the Paris Stock Exchange remained feverish this Tuesday, May 6. Its star index, CAC 40, sold 0.40%, thus falling under 7,700 points to 7,696.92 points.

The Paris market took note of the election in the second round of Friedrich Merz, the leader of the CDU-CSU, as a German Chancellor. The political leader had failed to be elected in the first round.

This announcement has, for a time, won the Dax 40, a flagship index of the Frankfurt Stock Exchange, which has however resumed since. He closed up 0.46%.

“The votes being secret, we will not know the official reasons for the failure of the first round this morning, but it seems to us that certain deputies of the CDU/CSU wanted to express their dissatisfaction with the flip-flop of Merz in terms of tax policy as a result of the elections,” said Carsten Brzeski responsible for macroeconomic research at ING.

Ferbrility before the Fed

On the United States side, it is difficult to follow the customs duties file. “The impression of a relief on the subject of customs rights loses its momentum, which is manifested in a context of lack of concrete progress in commercial negotiations and publication by Donald Trump last Sunday, of a message calling to impose customs duties of 100 % on films produced outside the United States”, notes Jim Reid of Deutsche Bank.

It is in this context that investors also learned on Tuesday of a record trade deficit reached in March in the United States. It worsened 14% over a month, reaching $ 140.5 billion, penalized by massive imports before the establishment of customs duties.

The operators also remain feverish on the eve of the decision of the American federal reserve which should, without surprise, maintain its unchanged guiding rates. But it is the comments of its president Jerome Powell who will be closely monitored.

“The main problem of the Fed remains, at this stage, and as for several months, the unpredictability of American trade policy, in terms of the level of new taxes and calendar, making any new projection very difficult. It remains to be seen if Jerome Powell will have been sensitive to the surprise contraction of the American GDP in the first quarter (due to the strong imbalance of the trade balance) and if it considers that there is an economic risk, A risk for employment, in the coming months … which would allow it to reopen the door to rate reductions, “explains Alexandre Baradez, responsible for market analysis at IG France.

“At this stage, the markets are not anticipating a rate drop in June and barely more than 50% of opportunities for a rate drop in July,” said the market specialist.

On the side of the values, the residents of the CAC 40 moved little. Teleperformance won 3.7%, the highest increase in the index, while the most pronounced withdrawal was accused by Essilorluxottica (-2.4%).

Excluding CAC 40, Elis sold 1.3% after delivering growth slightly lower than expectations in the first quarter.

In other markets, the euro takes 0.24% against the dollar at 1.1339 dollars. Oil resumes colors after falling on Monday. The July Brent of the Northern Sea contract jumped from 3.9% to 62.59 Dollars per barrel while that of June on the WTI listed in New York flashes from 4.3% to 59.59 Dollars per barrel.