After gaining nearly 1.6% on Wednesday thanks to confirmation of the ongoing disinflation dynamic in the United States, the CAC40 continued its upward momentum this morning, gaining a further nearly +1% to regain the 7,400-point mark (7,408Pts at the high).
The CAC40 'GR' is within 0.1% of its all-time closing zenith at the end of May, and with 90 minutes of trading left, erasing this record now looks like a mere formality.
The Euro-Stoxx50 (+1.1%) has already equalled its April 21 record closing level of 4,408pts.
On Wall Street, the session got off to a good start, with the Dow Jones up +0.3%, the S&P500 back above 4,500 thanks to a +0.6% rise, and the Nasdaq gaining +1%.

The VIX fell back to 13.3, 2% off its best level of the year, while interest rates eased by -10pts for the second session in a row, with our OATs back right on the 3.000% threshold, Bunds below 2.45% and US T-Bonds content with -6pts to 3.08050.

The "fact of the day" was certainly the Dollar's further fall, as it smashed a new annual low against the Euro, up +0.5% to 1.12000.
The greenback was weakened by the probability of a 2nd rate hike by the Fed in mid-September, which fell in 48 hours from 50% to less than 15%.
"If the Federal Reserve is likely to raise rates again at the end of this month, these data support our view that it should be the last hike", commented Commerzbank after the publication.

The decline in inflation is surprisingly rapid, and after a CPI reading of +3%, the Labor Department published US producer prices up by just 0.1% in June compared with the previous month, both on a gross basis and excluding food, energy and commercial services.

Over the last twelve months, producer prices rose by 0.1% on a reported basis in June and by 2.6% excluding food, energy and commercial services, following annual rates of 0.9% and 2.8% respectively in May.

There was a figure for the Eurozone this morning: seasonally-adjusted industrial production rose by 0.2% in May and by 0.1% in the EU, compared with April, according to estimates from Eurostat, the European Union's statistical office.

The disinflation dynamic also seems to be prevailing in France, where Insee this morning confirmed a slowdown in annual consumer price inflation to +4.5% for the past month, after +5.1% in May.

Among stocks, Carmila gained 4% following an agreement to acquire 93% of the capital of Galimmo, a potential acquisition that will be carried out simultaneously with Carrefour's acquisition of Cora France (+1%), announced at the same time.

Kaufman & Broad climbed nearly 4% following the publication of a 69% increase in net income, group share, to 38.5 million euros for its first half-year, on sales up 47% to 849 million.

Casino, on the other hand, dropped nearly 4% following an update by the food retailer on its first-half performance in France, unveiled as part of the conciliation procedure with its creditors.

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