French Stocks Fall on US-Iran Tensions
2026-07-13 07:39
By
Czyrill Jean Coloma
1 min. read
The CAC 40 fell 0.2% to 8,321 on Monday, extending losses from the previous week as escalating tensions in the Middle East weighed on market sentiment.
Oil prices surged following a fresh wave of US strikes on Iran, while conflicting statements from Washington and Tehran over the status of the Strait of Hormuz heightened market uncertainty.
The spike in energy prices reignited inflation concerns, prompting markets to price in two additional European Central Bank interest rate hikes over the next year, with the first expected in September.
Policymakers are seeking to contain inflationary pressures stemming from higher fuel costs linked to the Iran conflict.
Among individual stocks, LVMH (-0.5%), Safran (-1.3%), EssilorLuxottica (-1.2%), and Saint-Gobain (-1.6%) declined.
Elsewhere, Stellantis NV lost 1.1% despite reporting a 10% increase in Q2 shipments, driven by North American growth.
In contrast, TotalEnergies gained 2.3%, tracking surging oil prices.