The star CAC 40 index lost 22.16 points to 7,176.41 points around 10 a.m.

The day before, the Parisian rating had ended down 0.46%, fearing rate hikes.

Inflation is on the front of the stage in Europe, the Paris Stock Exchange, like its cousins ​​on the Old Continent, awaits the publication of inflation figures for the euro zone at 11 am.

“Inflation is expected to fall further to 8.3%, but this seems compromised given that inflation in France, Spain and Germany has increased compared to January,” commented Michael Hewson of CMC. Markets.

"The European CPI will likely be seen as further evidence that the European Central Bank should be more aggressive" in its rate hikes, he added.

At 1:30 p.m., the ECB will present a report on its February monetary policy meeting.

On the bond market, the French 10-year borrowing rate stood at 3.21%, exceeding its highest since January 2012 and the German 10-year rate was at 2.73% around 10:15 a.m.

And the American market does not reassure investors in Europe.

On Wednesday, Atlanta Fed Director Raphael Bostic took the floor to explain that inflation could well exceed 5%, adding that even if it fell to 2% - the objective of the American institution -, monetary policy should remain fairly tight.

Minneapolis Federal Reserve Chairman Neel Kashkari said he was “open” to a 50 basis point rate hike at the next U.S. central bank meeting, double the rate hike. the last increase.

Markets are increasingly expecting Fed rates to hit 5.5%, down from a range of 4.5% to 4.75% currently.

STMicroelectronics pays the piper

Semiconductor makers were hurt by comments from Tesla officials during the automaker's investor day.

An engine development manager said Elon Musk's company has succeeded in developing a transistor architecture in-house that requires fewer silicon wafers.

In Paris, STMicroelectronics lost 5.71% around 10:25 a.m. to 43.10 euros.

Veolia down

The water and waste giant lost 2.30% to 27.16 euros despite results for the year 2022 "at their all-time high", with the absorption of a large part of the assets of its rival Suez , and a net profit up 30%, for the first time exceeding one billion euros, driven in particular by its energy activities.

© 2023 AFP