The CAC 40 Index Opens 0.53% Lower

The CAC 40 fell 0.6% to 8,269 on Wednesday, reversing the previous session’s gains and hitting its lowest level since July, as escalating Middle East tensions kept risk appetite in check. Oil prices remained elevated after Iran said it had struck two US vessels and eight oil tankers in the Gulf in retaliation for American attacks on five Iranian tankers near Kharg Island. The latest developments heightened inflation concerns and reinforced expectations that the European Central Bank will raise interest rates by 25 basis points at Thursday’s policy meeting. Domestically, industrial production slipped 0.4% month-on-month in July, defying market expectations for a 0.3% rise and extending June’s revised 0.1% decline. Luxury stocks led the retreat, with LVMH sliding 1.4% to its lowest level since November 2020 and Kering losing 2.3%. Elsewhere, Airbus fell 1.6% after cutting its long-term demand outlook for single-aisle aircraft in China.

The CAC 40 Index is losing 44 points. Losses were led by Michelin (-1.85%), Essilor (-1.74%) and Thales (-1.72%). Offsetting the fall, top gainers were ENGIE (2.38%), Veolia (1.75%) and Stellantis NV (1.14%).

The CAC 40 Index rose 12 points or 0.14 percent on Tuesday to close at 8318 points. Leading the gains are Carrefour (2.37%), Bureau Veritas (2.18%) and Danone (2.11%). Top losers were Edenred (-3.44%), Stellantis NV (-3.13%) and Hermes International (-2.19%).