Skyscrapers in the business and financial district of La Defense in Paris, France, Monday, June 3, 2024.
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Reactions to the historic French and British elections dominated the start of the week, but attention has shifted to a flurry of inflation data.
On Thursday, the US consumer price index declined more than expected to 3% year-on-year, down from 3.3% in May.
Combined with the “modestly dovish” comments of the Chairman of the Federal Reserve Jerome Powell at the beginning of the week, the inflation print left the price of the money market in more than 90% chance of a September interest rate cut from the world’s largest central bank, with the rest before the end. of the year.
The data will be followed by the US producer price index on Friday, while German, French and Italian inflation readings will also be released.
Second quarter earnings season has begun. Along with Ericsson’s results, Norwegian Air reported better-than-expected profits for the period, according to Reuters.
Stateside, several financial services giants including JPMorgan Chase, Wells Fargo and Citigroup reported before the bell.