New York (AFP)

The Dow Jones, Wall Street's flagship index, bounced back on Monday morning after recording its heaviest weekly drop since October in a market worried about the upward revision by the US Central Bank (Fed) of its forecasts for inflation.

Around 2:05 p.m. GMT, the Dow Jones rose 1.21% to 33,692.64 points.

It had fallen 3.45% last week.

The extended S&P 500 index took 0.81% to 4,200.09 points and the Nasdaq, with a strong technological coloring, gained 0.25% to 14,065.49 points.

"Incredible as it sounds, 14 speeches from Fed officials are scheduled this week in the wake of an" impressive market about-face "between Friday and Monday, said JJ Kinahan of TD Ameritrade.

"If a handful of Fed speakers have as much of an impact as St Louis Fed Chairman James Bullard's comments on Friday about a possible key rate hike in 2022 and less need of the Fed to buy back mortgage-backed securities, the next few days could be interesting. "

Asked about CNBC, Mr. Bullard had based his reasoning on the rapid recovery of the US economy and the acceleration of the rate of inflation, which could push the Fed to be less accommodating.

These statements followed a monetary policy meeting of the institution, where a majority of members voted in favor of hikes in key rates, currently maintained between 0% and 0.25%, by 2023.

The week on Wall Street will also be marked by the publication of the results of the Fed's latest banking stress tests on Thursday and the PCE indicator on US household income and expenditure in May on Friday.

Among the values ​​of the day, the American agricultural technology company Raven Industries soared 49.74% after the announcement of its takeover by the Italian-American group CNH Industrial (+ 1.11%) for 2, $ 1 billion.

Pershing Square Tontine Holdings rose 0.21%.

Vivendi signed an agreement on Sunday with the company of American financier Bill Ackman, in order to sell him 10% of its subsidiary Universal Music Group (UMG), which it intends to float on the stock market after having distributed 60% of the capital to its shareholders.

Software publisher MicroStrategy, which claimed on Monday to hold more than 100,000 bitcoins, plunged 6.72%, suffering from the fall of the cryptocurrency after the Chinese authorities toughened their tone against the mining and trading of these digital assets.

The cryptocurrency exchange Coinbase was also struggling, dropping 3.31%.

The air carrier American Airlines, which announced the cancellation of hundreds of flights by mid-July due in particular to a lack of staff and bad weather, fell 1.03%.

The American online sales giant Amazon fell 0.69% on the first day of its Prime Day promotional operation.

On the debt market, the US 10-year borrowing rate stood at 1.50% against 1.45% Friday night.

© 2021 AFP