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CAC 40 Little Changed As Investors Await US Bank Earnings

French stocks were little changed on Friday as the euro continued its ascent against the dollar to hit a three-year high amid signs that the European Central Bank may wind down its 2.55 trillion euro ($3.07 trillion) bond purchase scheme this year.

German politicians reached a breakthrough in talks aimed at forming a new coalition government, helping support underlying sentiment to some extent.

The benchmark CAC 40 was marginally higher at 5,489 in opening deals after closing 0.3 percent lower the previous day.

Investors looked ahead to U.S. consumer inflation data and earnings from three of the biggest U.S. banks due later in the day for further direction.

Kering shares fell 1.5 percent. The French luxury goods company said that it proposes to distribute PUMA shares to Kering shareholders through a distribution in kind.

Vivendi lost nearly 2 percent. The media and music company expects its revenues to increase by close to 5 percent at constant currency and perimeter in 2017.

Societe Generale declined 1.8 percent. The bank said the U.S. tax reform will result in a charge of $307 million to be recorded in the fourth quarter of 2017.

Retailer Carrefour rose half a percent after it agreed to acquire a 17 percent stake in online fashion retailer Showroomprive.com.

In economic releases, France's consumer prices increased at a steady pace in December, final data from statistical office Insee showed.

Consumer price inflation climbed an annual 1.2 percent in December, the same pace of increase as seen in November and in line with the flash estimate.

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