CAC 40 Snaps Back from Initial Surge

Cac Futures

After moving higher early on in the session, France’s equity benchmark CAC 40 retreated Thursday morning as investors adopted a more cautious stance amid concerns that some major central banks, including the Federal Reserve, will raise interest rates this year. The positive start comes as geopolitical tensions have eased following the signing of an interim peace agreement between Iran and the U.S. This agreement includes the reopening of the Strait of Hormuz, a $300 million reconstruction program for Iran, and the removal of all U.S. sanctions.

The CAC 40, which advanced to 8,471.71 earlier, was up 8.14 points or 0.1% at 8,438.93 approximately thirty minutes past noon.

  • Legrand experienced an increase of 2.75%, while Airbus saw a rise of 2.5%.
  • Schneider Electric, Safran, and Kering experienced increases of 2.2%, 2.1%, and 2%, respectively.
  • Accor experienced an increase of nearly 1%, while Hermes International, Publicis Groupe, STMicroelectronics, EssilorLuxottica, and Societe Generale recorded modest gains.
  • Carrefour experienced a decline of 6.6% after JP Morgan placed the stock on negative catalyst watch and reduced its price target. The retail firm is set to disclose its first-half results on July 23.
  • Stellantis experienced a decline of nearly 3%, whereas Sanofi, ArcelorMittal, Renault, TotalEnergies, Unibail Rodamco, and Danone saw losses ranging from 1.3% to 2%.
  • Renault experienced a decline of approximately 2% following its acquisition of complete ownership of Flexis.
  • Euronext, Michelin, Eurofins Scientific, Pernod Ricard, Saint Gobain, Dassault Systemes, Engie, and Veolia Environment experienced declines ranging from 0.7% to 1.1%.

L’Oreal experienced a decline of approximately 0.6%. The company has entered into an agreement to acquire a majority stake in Innovist, a personal care entity in India known for its brands including Bare Anatomy and Chemist at Play. Shares in IT hardware manufacturer 2Crsi experienced a decline of 41% following a statement from U.S.-based short-seller Grizzly Research indicating that it had taken a short position on the stock.