CAC 40 Soars 1.1% as Stocks Surge Following Fed’s Interest Rate Cut

Cac Futures

The benchmark CAC 40 increased by 87.75 points, reflecting a rise of 1.13%, currently standing at 7,874.73. On Thursday, French stocks are firmly positioned in positive territory, buoyed by the Federal Reserve’s 25-basis point interest rate cut and indications of further easing this year, which have enhanced investor sentiment. Market participants are closely monitoring the upcoming monetary policy announcement from the Bank of England, as well as the address by European Central Bank President Christine Lagarde.

  • Legrand has increased by 3.7%.
  • Capgemini has risen by 3.2%.
  • STMicroElectronics is experiencing an increase of 4.3%.
  • Michelin has experienced a decline of approximately 1.2%.
  • Schneider Electric is experiencing an increase of nearly 3%.
  • Kering, Vinci, Teleperformance, and BNP Paribas experienced significant
    gains in their closing values.
  • Eurofins Scientific, Pernod Ricard, and Danone have experienced
    declines ranging from 0.4% to 0.7%.
  • ArcelorMittal, Dassault Systemes, Hermes International, Safran, Stellantis,
    LVMH, Saint Gobain, EssilorLuxottica, Accor, and Sanofi experienced
    gains ranging from 1.3% to 2.7%.

The European Central Bank reported a decline in the euro area current account surplus for July, attributed to a decrease in the surplus from services trade and primary income compared to June. The current account surplus decreased to EUR 27.7 billion, down from EUR 35.8 billion in June. During the corresponding period of the previous year, the surplus amounted to EUR 31.6 billion. The surplus in goods trade increased to EUR 25 billion, up from EUR 23 billion in the prior month, whereas the surplus in services declined to EUR 12 billion, down from EUR 16 billion.

The primary income decreased to EUR 7 billion, down from EUR 14 billion. The shortfall in secondary income decreased to EUR 16 billion, down from EUR 17 billion. For the twelve-month period ending in July, the current account surplus amounted to EUR 315 billion, representing 2% of GDP. Nonetheless, this figure represents a decrease from EUR 394 billion, which accounted for 2.6% of GDP during the corresponding period last year.