French Stocks Set for Second Weekly Loss

2026-03-13 08:53 By Czyrill Jean Coloma 1 min. read

The CAC 40 fell 1.2% to 7,889 on Friday, extending losses for a third straight session and putting the index on track for a second consecutive weekly decline, as investors weigh Middle East tensions showing no signs of abating.

The latest flare-up came as Iran’s new supreme leader, Mojtaba Khamenei, declared the Strait of Hormuz would remain shut, while Tehran escalated strikes on regional oil and transport infrastructure.

The recent development, which helped drive another spike in energy prices, continued to raise concerns about inflation in Europe, leading markets to fully price in an ECB rate hike by July, with about an 80% chance of a move as early as June.

Domestically, annual inflation rose to 0.9% in February 2026, from 0.3% in January, revising down from an initial estimate of 1%.

Most stocks traded lower, with luxury groups LVMH, Hermès, and Kering falling between 1.2% and 2.6%, while banking stocks BNP Paribas, Crédit Agricole, and Société Générale declined 1.5% to 1.9%.



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The CAC 40 fell 1.2% to 7,889 on Friday, extending losses for a third straight session and putting the index on track for a second consecutive weekly decline, as investors weigh Middle East tensions showing no signs of abating. The latest flare-up came as Iran’s new supreme leader, Mojtaba Khamenei, declared the Strait of Hormuz would remain shut, while Tehran escalated strikes on regional oil and transport infrastructure. The recent development, which helped drive another spike in energy prices, continued to raise concerns about inflation in Europe, leading markets to fully price in an ECB rate hike by July, with about an 80% chance of a move as early as June. Domestically, annual inflation rose to 0.9% in February 2026, from 0.3% in January, revising down from an initial estimate of 1%. Most stocks traded lower, with luxury groups LVMH, Hermès, and Kering falling between 1.2% and 2.6%, while banking stocks BNP Paribas, Crédit Agricole, and Société Générale declined 1.5% to 1.9%.
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