The CAC 40 Index Closes 0.60% Higher

The CAC 40 Index gained 48 points or 0.60 percent on Thursday to close at 8189 points. Gains were led by Schneider Electric (3.03%), Eurofins Scientific SE (2.92%) and Stellantis NV (2.63%). Biggest losers were Essilor (-2.74%), Dassault Systemes (-1.53%) and Bureau Veritas (-1.08%).

The CAC 40 rose 0.6% to close at 8,188 on Thursday, as the recent rally in oil prices lost steam, limiting the rise in bond yields. The moves followed reports that Saudi Arabia aims to restore around half of its East-West pipeline capacity within days and return it to full operation within six weeks. Eurozone annual inflation rose to 3.2% in August, matching May’s more than two-year high but coming in slightly below the preliminary estimate of 3.3%. The rate remained well above the ECB’s 2% target. Meanwhile, the US Federal Reserve delivered an expected 25-bp rate hike. Financial stocks posted gains, with BNP Paribas up 1.4%, AXA rising 1.9%, Crédit Agricole advancing 1.2%, and Société Générale adding 0.7%. Industrials were mixed, with Schneider Electric (+2.8%), Safran (+1.6%), Legrand (+0.7%), and Sanofi (+1.2%) posting gains, while Thales (-1.1%), Air Liquide (-0.7%), and EssilorLuxottica (-2.5%) closed lower. Kering rose 0.7%, while most other luxury stocks closed lower.

The CAC 40 rose 0.4% to 8,172 on Thursday, extending gains from the previous session and tracking a broader global rally after the Federal Reserve delivered an expected 25 bps rate hike. While the central bank also signalled at least one more increase this year, Chair Warsh’s reaffirmation of its commitment to curbing inflation helped shore up confidence in its policy stance. Positive market sentiment was also supported by lower bond yields and softer oil prices. On the economic front, investors turned their attention to the final estimate of euro-area inflation. Most stocks traded in positive territory, with notable gainers including Schneider Electric (1.7%), Airbus (1.1%) and Safran (1.5%). In contrast, EssilorLuxottica (-1.7%), Dassault Systèmes (-2.4%) and Engie (-0.8%) were among the few laggards.