The CAC 40 increased by 0.4% to approximately 8,367 on the initial trading day of September, as investors largely dismissed the rising tensions in the Middle East. US forces conducted operations against an island in the Strait of Hormuz, prompting Iran to respond with assaults on the UAE and Jordan. This escalation has led to an increase in energy prices and bolstered the anticipation that the European Central Bank may maintain higher interest rates for an extended period.

Domestically, markets are closely observing the strategies that President Macron’s successor will employ to address significant challenges, even with the 2027 presidential election still months away. These challenges include a budget deficit exceeding 5% of GDP, increasing debt-servicing costs, and an economy teetering on the brink of recession.

On the corporate front, Air Liquide surged 3.6% following reports that activist investor Elliott Investment Management had acquired a stake in the company. Other notable gainers included TotalEnergies at 1.9%, STMicroelectronics at 2.0%, and BNP Paribas at 0.6%.