PARIS (Reuters) -Wall Street is expected to grow and European scholarships are in mid -session green, investors strengthen their anticipations of drops in the American Federal Reserve (Fed). Futures in New York indices suggest an opening of Wall Street in the green, the Dow Jones appearing up 0.16%, while the Standard & Poor’s 500 takes 0.25%and the NASDAQ 0.42%.
In Paris, the CAC 40 rises from 0.46% to 7,710.22 points around 10:22 GMT. The Dax in Frankfurt is strengthened by 0.70%, while the FTSE in London increased by 0.15%.
The pan -European FTSEUROFirst 300 index takes 0.30%, the Eurostoxx 50 wins 0.58%and the Stoxx 600 grows by 0.31%.
The markets continue to adjust their anticipations of Fed rate drops earlier this week after the data published during the previous week.
The monthly employment on employment published on Friday reported much fewer non -agricultural job creations than expected, worrying about the American employment and economy market in general. Rate reduction anticipations are therefore strengthened, investors are now betting on three drops by the end of the year while a drop in 50 base points in September is even mentioned by some.
In this context, the American inflation report in August, expected Thursday, will be studied with attention.
In Europe, the European Central Bank (ECB) should on the contrary opt for the status quo Thursday with inflation data close to the level targeted by the institution.
It is above all the political situation in France and its consequences that occupy the markets on the old continent on Monday. Prime Minister François Bayrou must engage the responsibility of his government before the National Assembly on the issue of debt of France.
The values ​​to follow at Wall Street [L5N3UV0I9]
Values ​​in Europe
The banking sector, up 1.13%, bounces on Monday after falling last week with the expected rate reductions in the Fed and the political situation in France. In Germany, Commerzbank thus takes 3.78%, signing the best performance of the Dax.
In London, Phoenix Group lost 6.5% after its results. Marks & Spencer displays the highest increase with +2.45% after Citi noted its note on the title of “neutral” to buy “. In France, Edenred accuses the highest drop in CAC 40 by dropping 4.91%, Morgan Stanley having reduced his lens of courses on the French title. Crédit Agricole displays on the contrary the second best performance by earning 1.47% after an agreement to settle a tax dispute on fraud linked to dividends.
RATE
French and European yields are rather stable on Monday before the Bayrou government’s confidence vote.
The yield of French ten years fell 0.7 bp to 3.4423%, that of two years from 0.4 pb to 2.0359%.
The yield of the ten years German takes 0.6 bp to 2.6644%, that of the rate at two years 0.2 pb to 1.9312%.
Treasury’s yield at ten years takes 0.2 pb to 4.0876%, while the two -year title yield drops 0.4 pb to 3.5028%.
Changes
The dollar is rather stable on Monday after the American employment report published on Friday which weighed heavily on the greenback by supporting anticipations of Fed rate drops.
The dollar loses 0.03% against a basket of reference currencies, the euro takes 0.06% to 1.1724 dollars, and the pound sterling 0.03% to 1.3509 dollars.
OIL
Oil prices are on the rise on Monday after the sharp drop in the past week, the war in Ukraine weighing on the prospects for supply.
The Brent advances from 1.98 % to 66.8 dollars per barrel, the light American crude (West Texas Intermediate, WTI) increased by 1.99 % to 63.13 dollars.
No more major indicator is expected on September 8
The situation on the markets
(Some data may accuse a slight offset)
(Written by Bertrand de Meyer, edited by Augustin Turpin)
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