The Paris Bourse stagnates around its equilibrium point, at around 7,245 points, as investors continue to seek direction in a cautious environment ahead of several important economic events.

After a buoyant first half of the year, investors still seem to be catching their breath ahead of a second half that could be even more turbulent.

A few labor market statistics have recently been enough to raise fears of a marked slowdown in US growth over the coming months, or even a possible slide back into recession.

A wait-and-see market is rarely a bull market", reminds Christopher Dembik, Investment Strategy Advisor at Pictet AM.

Several crucial questions remain unanswered: how will the US economy evolve over the coming months, and how will the Fed react to the slowdown in activity that lies ahead?

"The publication of US producer prices will give a foretaste of the consumer price figure, which is the highlight of the week", stresses Christopher Dembik.

We should also add that Home Depot's results today will be closely scrutinized by analysts, as this is an imperfect but important barometer of American consumer behavior", adds the analyst, who believes that "poor figures are likely to be harshly punished by the market".

Expected on Thursday, the US retail sales indicator should test the strength of US household consumption, the country's main growth driver.

Against this backdrop, yields continue to ease, betraying a flight to quality ahead of the release of crucial indicators in the second half of the week.

The yield on 10-year Treasuries is back at around 3.91%, an almost one-year low, while the yield on the German 10-year is at 2.22%.

The currency markets also remain focused on the forthcoming indicator releases, with the euro holding steady against the greenback at $1.092/Euro.

The oil market is back on a downward trend due to concerns about the state of the US economy, which could lead to a decline in demand.

In London, Brent crude oil is down 0.2% to $81.9 a barrel.

In French company news, Airbus announced that airBaltic, the Latvian national carrier, had confirmed an additional order for 10 A220-300 aircraft. This new and fourth order brings the airline's total firm orders to 90 A220 aircraft.

Stellantis was the biggest faller on the CAC 40 index on Tuesday morning on the Paris Bourse (-1.9%), with the automotive group's share price penalized by a note from RBC, which lowered its price target on the stock. The Canadian broker, which maintains its 'outperform' rating on the stock, reduced its target from €24 to €18.

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