Gains on the Paris stock market eased slightly (+0.3% vs. +0.6% around 4pm) after an unsuccessful test of the 7,150-point mark.

The CAC40 mirrors the average gains seen in Europe on Wednesday, with the exception of Amsterdam, which clearly stood out with +1%.
The E-Stoxx50 is well ahead of the S&P500 (+0.1ù), while Wall Street is seeing its initial lead melt away (the Dow Jones is back in the red, down -0.1%).

Investors remain relatively confident in an imminent 'pivot' scenario from the FED ahead of monetary policy decisions at the end of its policy committee meeting (FOMC), which concludes this evening and will be followed by a much-anticipated press conference from Chairman Jerome Powell.

There is little doubt as to the Fed's verdict, given the evolution of the CME's FedWatch, which suggests a near-certain rate hike of a quarter point, to which market participants attribute a probability of over 86%.

Markets are waiting to see whether the Fed will adopt the same accommodating tone as in its recent rescue operations with the Treasury to protect the US financial system.

The solidity of the US economy, evidenced again yesterday by good indicators on the housing market (1st rebound in sales in 12 months), certainly argues in favor of a tougher stance, but the fragility of certain banks argues for a more cautious approach.

Investors will be particularly interested in the Fed's 'dot plots', which, as at the end of each quarter, will reveal its outlook for the final rate in 2023 and the years to come.

Its expectations could be sharply revised downwards, satisfying investors who would see this as confirmation of an imminent 'pivot' in the central bank's policy.

Little movement is expected between now and the release of the Fed's statement, especially as the early part of the session promises to be sparse in economic indicators.
The bond markets contrast with the serenity of the stock market indices, with a clear deterioration in yields: +12pts on our OATs this morning to 2.92%, +6pts this afternoon to 2.862%, Bunds show +7pts to 2.347% (after an incursion under 2.00% this very Monday), US T-Bonds remain unchanged at 3.60% (which does not support the Dollar).

The greenback continues to fall against the euro, dipping below 1.0800 (-0.3%).

In French company news, Voltalia announces the signing of a 15-year electricity sales contract in Portugal with BA Glass Group, a European leader in the production of hollow glass for the beverage and food industries.

Crédit Agricole Consumer Finance announces the signature of a memorandum of understanding with Stellantis for the acquisition of six European subsidiaries of ALD and LeasePlan, following ALD's announced acquisition of 100% of LeasePlan's capital in January 2022.

Finally, Stellantis announced on Wednesday that its joint venture with Crédit Agricole had reached an agreement to acquire ALD's activities in Portugal and LeasePlan's activities in Luxembourg.


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