The Paris Bourse is heading for its 7th out of 8 sessions of gains (+0.2% to 8,228), and towards a 2nd record close in 3 sessions, in volumes that remain as insignificant as ever (barely 1.2 billion euros traded in 8 hours).
The CAC40 is being helped by gains by Société Générale (+3.8%), Kering (+2.7%) and Véolia (+2.5%).
The Euro-Stoxx50 (stable) is struggling to get back into the green, but a record close above 5.080 remains a possibility.
The AEX (Amsterdam) is set to post - almost certainly - an 8th consecutive record close (8 sessions in May: 8 rises).
Nothing seems likely to trigger the beginnings of a consolidation, either in Europe or on Wall Street: the rise in producer inflation (PPI), which is thwarting forecasts, is not impressing US managers.
The 3 main US indices maintain gains of between +0.1 and +0.3% (they are closer than ever to their record highs)... a behavior quite similar to that of the previous day, with one 'stat' more.

The US Producer Price Index (PPI) disappoints expectations at all levels... but this has no impact on Wall Street.
The Labor Department reports that the PPI rose by 0.5% on a reported basis and by 0.4% excluding food (against an expected stability), energy and commercial services, in April compared with the previous month.

Over the last twelve months, producer prices rose by 2.2% on a reported basis (against 1.8% in March) and by 3.1% excluding food (against 2.8% in March).
This will not encourage the Fed to loosen its monetary policy: the interest-rate markets could expect it to push back the deadline for a rate cut even further.
Paradoxically, however, US T-Bonds are easing by an average of -2Pts (versus +3Pts after the 'PPI'), as they are pinning their hopes on statements by US central bank chairman Jerome Powell, who will be speaking this afternoon in Amsterdam at a conference organized by the association of foreign banks in the Netherlands.

In Europe, inflation in Germany came in at +2.2% (stable) and the ZEW index of German investor sentiment rose by 4.2 points on April to stand at +47.1, confirming that economic conditions are gradually improving in Europe's leading economy.
Bunds are up +3.2Pt to 2.532%, our OATs are up +3.3Pts to 3.045%, and Italian BTPs are up +3.3Pts to 3.883%.
The widening yield spread on US/EU Treasuries is depressing the dollar, which is down -0.3% to 1.0820/E.

On the other hand, the news is relatively quiet on the corporate results front, although investors will be keeping an eye on the release of US DIY giant Home Depot, scheduled before the Wall Street opening.

This morning, German chemicals and pharmaceuticals group Bayer reported first-quarter performance in line with expectations, and confirmed its full-year targets.

In French company news, Dassault Systèmes announced a five-year extension of its long-term strategic partnership with JLR (Jaguar Land Rover), with the deployment of its 3DEXPERIENCE platform across all of the British automaker's automotive programs.

Veolia announced that, via its subsidiary SIDEM, it has won a $320 million contract to design and supply key technology for the Hassyan seawater desalination plant in Dubai, United Arab Emirates.

Finally, UBS announced that it was maintaining its 'neutral' recommendation on Crédit Agricole, while raising its target price for the stock from 13.9 to 15.6 euros, a new target broadly in line with the French bank's latest share price.

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