French Stocks Track European Peers Lower
2026-07-16 07:58
By
Czyrill Jean Coloma
1 min. read
The CAC 40 fell 0.6% to 8,329 on Thursday, reversing gains from the previous session and mirroring European peers lower as investors assessed corporate earnings and developments.
TotalEnergies dropped 1.6% as the company warned that LNG earnings would decline sharply due to softer European demand.
However, the company expects higher Q2 profit, supported by a surge in energy prices linked to the Middle East conflict.
STMicroelectronics also slipped 1.2%, tracking weakness across the technology sector as investors continued to question whether earnings growth can justify stretched AI-driven valuations.
Meanwhile, sentiment remained fragile as the US continued strikes on Iran for a fifth consecutive day, with Iran retaliating by targeting US bases in Kuwait and Jordan.
The latest escalation revived concerns over inflation and interest rates, with markets fully pricing in an ECB rate hike in September and another increase expected by spring 2027.