The CAC 40 Index Closes 2.32% Lower

The CAC 40 Index decreased 196 points or 2.32 percent on Wednesday to close at 8240 points. The decline was led by Stellantis NV (-5.99%), Societe Generale (-5.78%) and Kering (-5.27%).

The CAC 40 fell 2.2% to close at 8,253 on Wednesday as investors grappled with mounting political uncertainty in France and renewed tensions in the Middle East. Le Pen confirmed her intention to mount a fourth presidential campaign despite legal challenges stemming from her conviction for the misuse of public funds. Recent polls show her party leading. Meanwhile, US President Trump said the memorandum of understanding with Iran to end the conflict was "over," reviving concerns over potential disruptions to global energy supplies. Higher oil prices renewed fears of energy-driven inflation and higher interest rates. Luxury stocks declined as risk aversion rose, with LVMH losing 2.4%, L'Oréal down 2.3%, Hermès losing 4.5%, and Kering shedding 5.2%. Industrials traded lower, with Airbus down 3.1% and Safran falling 4.5%. Financials lost as bond yields moved higher, with BNP Paribas down 3.9% and Société Générale losing 5.7%. In contrast, TotalEnergies gained 2.1% on higher oil prices.

The CAC 40 fell 0.7% to around 8,379 on Wednesday, extending its decline to a third straight session as investors grappled with mounting political uncertainty in France and renewed tensions in the Middle East. Far-right leader Marine Le Pen confirmed her intention to mount a fourth presidential campaign despite legal challenges stemming from her conviction for the misuse of public funds. Recent polls show her party, National Rally, leading voter preferences, with its candidate widely expected to reach the second-round runoff, while the race to succeed Emmanuel Macron remains open and fragmented. Adding to the cautious sentiment, the US carried out fresh airstrikes and revoked a sanctions waiver that had allowed Iran to export oil globally. Luxury stocks were among the weakest performers, with LVMH falling 0.9%, Hermès losing 1.7%, and Kering declining 1.3%. Financial shares also came under pressure, led by BNP Paribas (-2.1%), Crédit Agricole (-1.6%), and Société Générale (-2.4%).