* In Europe, the CAC 40 lost 0.26% and the Stoxx 600 gained 0.35%
* Wall Street expected to be in the green before inflation
* French inflation at 2.5% in June
* The legislative elections in France weigh on morale
par Augustin Turpin
June 28 (Reuters) – Wall Street is expected to rise and European stock markets are trading in a mixed order at mid-session on Friday, with the CAC 40 still being penalized by concerns over the results of the upcoming legislative elections in France while investors’ eyes are fixed on the United States and the expected publication of American inflation figures.
New York index futures signal Wall Street opening up 0.1% for the Dow Jones, 0.35% for the Standard & Poor’s-500 and 0.41% for the Nasdaq.
In Paris, the CAC 40 lost 0.26% to 7,511.01 points at around 10:40 GMT. In Frankfurt, the Dax advanced by 0.71% and in London, the FTSE by 0.58%.
The pan-European FTSEurofirst 300 index takes 0.31%, the Eurozone EuroStoxx 50 0.37% and the Stoxx 600 0.35%.
At the end of a week poor in economic data, investors are awaiting the publication in the United States of figures for the PCE price index, scheduled for 12:30 GMT.
PCE inflation is the indicator of price dynamics preferred by the US Federal Reserve (Fed) to define its monetary policy.
The Fed is only planning one interest rate cut this year, in December. However, investors are anticipating two rate cuts in total this year, including one in September, according to LSEG data.
In France, inflation harmonised with European standards reached 2.5% in June over one year, in line with expectations, marking a change compared to May, according to preliminary data published on Friday by INSEE.
VALUES TO FOLLOW ON WALL STREET
Nike announced Thursday evening that it anticipates an unexpected drop in its turnover for the 2025 financial year, in a context of contraction in demand for its sports shoes and increased competition from brands such as “On” and “Hoka”. In pre-market trading, Nike shares fell 14.2%, while its competitor Under Armor fell 2.6%. British sporting goods retailer JD Sports also lost 4% in the wake of Nike.
VALUES IN EUROPE
Air France-KLM shares fell by almost 5% after a lowering of recommendation from Barclays, which mentioned in an analyst note a political context “very difficult to manage” for the group’s management, in France and the Netherlands. Down.
RATE
Eurozone bond yields are stable ahead of US inflation, with the risk premium on French government bonds hitting its highest level since the eurozone crisis in 2012 on Friday, just days before the first round of French legislative elections.
The German ten-year yield gained 2.2 basis points (bp) to 2.4740%, with the US Treasury at the same maturity also gaining 2.2 bp to 4.3098%.
CHANGES
The dollar fell (-0.05%) against a basket of reference currencies, while the euro gained 0.04% to 1.0706 dollars.
OIL
Oil prices are rising, driven by expectations of Fed interest rate cuts.
Brent rose 0.75% to $87.04 per barrel, with American light crude (West Texas Intermediate, WTI) increasing 0.77% to $82.37.
MAIN ECONOMIC INDICATORS ON THE AGENDA FOR JUNE 28:
COUNTRY GMT INDICATOR PERIOD CONSENSUS PREVIOUS USA 12:30 Household income May +0.4% +0.3%
Consumer spending n/a -0.1%
PCE price index +0.0% +0.3%
– over one year +2.6% +2.7% USA 2:00 p.m. Household morale (Michigan) June 65.8 65.6*
(definitive) *first estimate
(Written by Augustin Turpin)
