The stock market saw a mix of highs and lows this Wednesday as Wall Street celebrated new records while the Cac 40 struggled to keep up. The S&P 500 and Nasdaq Composite surged to new heights fueled by a positive report on US inflation, with consumer prices rising less than expected. However, the Cac 40 narrowly missed out on breaking its own record, despite a rebound in Europe.
While US markets were buoyed by the reassuring inflation data, there were mixed signals on consumption as retail sales stagnated in April. Economists remain optimistic about solid household spending growth in the coming months, despite the pressure of high interest rates.
In Europe, the European Commission revised down its inflation projections for 2024, but maintained GDP growth forecasts. Corporate news saw CGG soaring after strong quarterly results, while Trigano fell due to disappointing cash generation.
Investors are advised to remain cautious despite the positive market sentiment, as conflicting signals from the economy could impact future market trends. Keeping a close eye on upcoming indicators will be crucial in navigating the markets in the months ahead.
