French Stocks Rebound

2026-06-02 07:52 By Czyrill Jean Coloma 1 min. read

The CAC 40 climbed 1% to 8,228 on Tuesday, rebounding from the previous session's losses, supported by gains in luxury stocks while investors weighed lingering uncertainty surrounding US-Iran ceasefire efforts.

LVMH climbed 1.6%, Hermès added 1.5%, and Kering gained 1.4% amid growing indications that Chinese luxury demand is stabilizing and as LVMH intensified its focus on the US.

Elsewhere, STMicroelectronics surged 9.8% to its highest level since September 2000 after raising revenue targets for its data-center business, underscoring strong AI-driven demand.

Meanwhile, investors closely watched developments in the Middle East after Iran suspended indirect talks with Washington over Israel's military operations in Lebanon, while President Trump insisted negotiations remained ongoing.

Attention also turned to flash estimates of Euro Area inflation, with the headline inflation rate expected to edge up to 3.2% in May and core inflation forecasted to tick higher to 2.4%.



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French Stocks Rebound
The CAC 40 climbed 1% to 8,228 on Tuesday, rebounding from the previous session's losses, supported by gains in luxury stocks while investors weighed lingering uncertainty surrounding US-Iran ceasefire efforts. LVMH climbed 1.6%, Hermès added 1.5%, and Kering gained 1.4% amid growing indications that Chinese luxury demand is stabilizing and as LVMH intensified its focus on the US. Elsewhere, STMicroelectronics surged 9.8% to its highest level since September 2000 after raising revenue targets for its data-center business, underscoring strong AI-driven demand. Meanwhile, investors closely watched developments in the Middle East after Iran suspended indirect talks with Washington over Israel's military operations in Lebanon, while President Trump insisted negotiations remained ongoing. Attention also turned to flash estimates of Euro Area inflation, with the headline inflation rate expected to edge up to 3.2% in May and core inflation forecasted to tick higher to 2.4%.
2026-06-02
The CAC 40 Index Opens 0.85% Higher
The CAC 40 Index is up by 69 points or 0.85 percent on Tuesday. Top gainers are STMicroelectronics (8.80%), Kering (2.61%) and BNP Paribas (2.39%). Biggest losses came from TotalEnergies SE (-0.47%), Orange (-0.45%) and Thales (-0.39%).
2026-06-02
CAC 40 Falls on Iran-US Tensions
The CAC 40 shed 0.4% to close at 8,147 on Monday as reports that Iran will halt communication with the US cast doubt on the prospects for renewing the ceasefire. Oil prices rebounded, reviving stagflation concerns and pushing bond yields higher. Investors also assessed the outlook for the French economy after the Bank of France signaled it would lower its growth forecasts later this month following a weak start to the year and persistent geopolitical uncertainties linked to the conflict in the Middle East. The central bank currently expects the economy to expand by 0.9% this year, while the IMF recently cut its forecast to 0.7% from 0.9%. Industrial stocks led losses, with Airbus down 3.6%, Safran losing 2.8%, and Thales shedding 4%. Luxury shares also traded lower amid higher risk aversion, with LVMH down 0.7% and L'Oréal losing 0.8%. On the upside, TotalEnergies gained 1.6% as oil prices advanced.
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