Stocks are expected to fall, the market worries about the rise in Covid cases in Europe. The Eurostoxx 50 opens at 4,352.53 points (-0.24%), the CAC 40 at 7,047.48 points (+0.10%), the DAX 40 at 16,046.52 points (-0.05% ), the FTSE 100 at 7,300.40 points (-0.05%), the SMI at 12,353.35 points (+0.26%), the AEX at 817.59 points (-0.26%), the BEL 20 at 4,383.83 points (-0.04%), IBEX 35 at 9,070.80 points (-0.65%), DJIA at 36,432.22 points (+0.29%), Nasdaq at 15,982.36 points (+0.07%), the S&P 500 at 4,701.70 points (+0.09%) and the Nikkei 225 at 29,285.46 points (-0.75%).

On the exchange rate side, the variation compared to the closing in New York indicates that EUR/USD at 1.1605 (+0.15%), EUR/JPY at 130.86 (-0.26 %), USD/JPY at 112.77 (-0.41%).

On the macroeconomic front, the Banque de France indicated on Monday that France's gross domestic product should grow by 0.75% in the fourth quarter. The institution maintained its forecast for the whole of 2021 at 6.3% even if its forecast for the last three months of the year suggests a slightly higher growth, around 6.75%.

European equity markets are expected to open lower on Tuesday as investors are concerned about the rise in the number of Covid-19 cases in the region. Moreover, persistent concerns about inflation and the evolution of the monetary policy of the Federal Reserve (Fed) could reinforce this bout of caution. At 7:35 a.m., the CAC 40 futures contract lost 19 points, or 0.3%, according to data from broker IG Markets. The DAX 40 contract fell 28 points, or 0.2%, and the FTSE 100 contract lost 19 points, or 0.3%. The health situation in Europe has been deteriorating for several weeks, particularly in Germany where the daily number of contaminations has reached record highs. In this context, the authorities fear a sharp increase in hospitalizations and deaths during the winter, forcing them to adopt new restrictions to avoid overwhelming hospitals. Besides the ZEW, investors will be watching US producer prices in October, as well as speeches by European Central Bank (ECB) and Federal Reserve (Fed) presidents Christine Lagarde and Jerome Powell. The two officials are due to speak at 2:00 p.m. and 3:00 p.m. respectively at the opening of the ECB forum on banking supervision for Christine Lagarde and at a conference on diversity and inclusion for Jerome Powell.

Wall Street set new records Monday at the close, benefiting from a strong corporate earnings season and Friday's passage of Joe Biden's sweeping infrastructure investment plan. The Dow Jones Index (DJIA) rose 0.3% to end at a new high of 36,432.22 points, and the S&P 500 rose 0.3% to a high of 4,701.70 points. The Nasdaq Composite posted a new record of 15,982.36 points, nibbling just under 0.1%. In Asia, the main stock markets posted a mixed performance on Tuesday. At the end of the session, the Shanghai Composite index gained 0.3%, like the Hang Seng index in Hong Kong. The Tokyo Stock Exchange's Nikkei index closed down 0.8%.

Yields on US Treasury bonds rose on Monday. The benchmark ten-year treasury bill and two-year bond rate posted their largest one-day rise since late October as investors began positioning themselves for the reopening of global economies and analyzing the infrastructure investment program adopted Friday in the United States. Investors are looking for indications on the evolution of monetary policy, as the Fed tries to find a balance between inflation and employment. According to Cornerstone, signs of an increase in labor supply should soon appear.

The euro rose against the dollar on Tuesday morning amid optimism about the US economy following the adoption of the infrastructure investment plan, IG reported. The broker adds that if the appetite for risk improves on the markets, a feeling of caution remains however before the publication, scheduled for Wednesday, of the consumer price index for October in the United States.

Oil prices are up slightly on Tuesday morning, due to anticipation of supply tensions. At 7:25 a.m., the January North Sea Brent contract was up 11 cents to $83.54 a barrel. The December contract on Nymex-listed WTI was up 15 cents to $82.08 a barrel.