The CAC 40 Index Opens 0.37% Lower

The CAC 40 fell 0.5% to 8,135 on Monday, extending losses from the previous week as oil prices surged after Saudi Arabia suspended operations on the East-West crude pipeline following drone attacks. The kingdom has yet to indicate when the pipeline will resume operations. Adding to investor caution, talks between Iran and several Gulf nations on establishing a temporary shipping corridor through the Strait of Hormuz were postponed. Notable laggards included LVMH (-1.2%), Schneider Electric (-3.6%) and Legrand (-3.8%). Elsewhere, STMicroelectronics dropped 3.9%, tracking losses across the global technology sector after major AI companies called for a slower pace of development amid growing concerns over safety risks. In contrast, Sanofi (1.4%), Thales (1.0%), Dassault Systèmes (4.1%) and Publicis (3.3%) were among the top performers.

The CAC 40 Index is dropping 30 points. Leading the losses are Legrand (-3.70%), Schneider Electric (-3.65%) and STMicroelectronics (-3.26%). Top gainers were Capgemini (6.56%), Dassault Systemes (4.55%) and Publicis (3.34%).

The CAC 40 rose 0.8% to close at 8,180 on Friday, rebounding from two straight sessions of losses as oil prices pulled back. Prospects for diplomatic efforts to ease tensions around the Strait of Hormuz dragged crude prices lower. Gulf foreign ministers are expected to meet their Iranian counterpart in Oman on Monday as part of efforts to secure support for a temporary arrangement to manage shipping through the strait. The halt in the surge in energy prices allowed equities to enjoy some respite. Luxury stocks closed mostly higher as risk aversion eased, with LVMH adding 2.2%, L’Oréal up 1.1% and Kering rising 1.9%. Industrials also posted gains across multiple subsectors, with Airbus up 1.8%, Safran rising 2.5%, Schneider Electric adding 1.3%, STMicroelectronics gaining 2.4% and Stellantis advancing 3.1%. Financials also moved higher, with BNP Paribas and Société Générale each up 1.1%. Despite Friday’s rebound, the CAC 40 lost 1.4% on the week.