Michelin stock declines nearly 1.5%, weighed down by surging Brent crude
The Clermont-based tire manufacturer is in negative territory this Wednesday, in a CAC 40 index also trending downward. The decline occurs in a tense geopolitical context in the Middle East, with military escalation between Iran and the United States sending the barrel of Brent crude soaring by more than five percent during the trading session.
Michelin at contact with its short-term moving averages, among the strongest declines in the CAC 40
Mid-morning, Michelin stock is down 1.35% to €34.41, ranking among the strongest declines in the CAC 40, an index itself declining 0.32% during the session. The security is trading in contact with its MA20 (€34.58) and its MA50 (€34.55), with a gap of less than 0.5% below each of these two averages. This positioning, nearly in line with these levels, weakens the short-term configuration: maintaining below these moving averages would extend the downward pressure observed since the start of the month.
The RSI at 54 remains in neutral territory, which signals neither marked selling exhaustion nor strong buying activity. The session is set against the backdrop of Brent crude soaring to $95.40 per barrel, up 5.43% during the day, a tension that indirectly weighs on the cost outlook for the tire sector. The immediate support stands at €34.01, or less than 1.2% below the current price.
A contained decline over the week, but a technical configuration under watch
Over the week, Michelin is down 1.09%, continuing the decline observed Thursday August 27, which had already placed the security in contact with the €34 threshold. Over one month, losses remain limited to 1.6%, while the quarter remains largely positive with a gain of 9.62%. The MA200, at €31.66, remains well below the current price (gap of nearly 8.7%), reflecting a preserved underlying trend despite short-term turbulence.
The immediate resistance is identified at €35.14, or approximately two percent above the current price. The analysts' views on the security and their price targets constitute a medium-term benchmark to follow alongside this configuration. The support at €34.01 remains the key area to monitor in the near term.
