France’s equity benchmark CAC 40 experienced a decline on Monday, as inflation and growth apprehensions reemerged in light of increasing oil prices. This development followed the U.S. military’s announcement of a blockade in the Strait of Hormuz, a consequence of the breakdown in U.S.-Iran peace negotiations over the weekend.
US Central Command announced that its forces will commence the enforcement of the blockade in an impartial manner against vessels from all nations that are entering or departing Iranian ports and coastal regions, which encompasses all Iranian ports situated on the Arabian Gulf and Gulf of Oman. Brent crude futures surged over 8%, approaching $104 per barrel. The CAC 40 experienced a decline of 71.10 points, reflecting a decrease of approximately 0.84%, standing at 8,188.50 at midday.
- Safran and Stellantis experienced declines of 2.3% and 2.2%, respectively.
- Airbus, Societe Generale, Kering, Legrand, ArcelorMittal, Danone, Michelin, ArcelorMittal, Eurofins Scientific, Saint Gobain, Renault, Accor, and EssilorLuxottica experienced a decline ranging from 1.3% to 1.7%.
- Bouygues, Hermes International, Bureau Veritas, Veolia Environmental, Vinci, LVMH, Sanofi, Eiffage, Credit Agricole, and BNP Paribas experienced significant declines.
- Among the gainers, Dassault Systemes increased by nearly 2%, TotalEnergies rose by 1.6%, and Carrefour progressed by nearly 1.5%.
- Thales, Euronext, and Engie experienced an increase of 0.5% to 1%.