EssilorLuxottica Shares Decline, Threatening Key Support at €162
In early afternoon trading, the Franco-Italian optical giant is on the decline within a CAC 40 that is slightly gaining ground. The stock is erasing some of last week's rebound amid a market environment once again disrupted by a surge in oil prices. The session is part of a deteriorating underlying trend since spring.
A Retreat that Places the Stock Below Its Three Key Moving Averages
EssilorLuxottica shares are down 1.14% at €169.45, among the sharpest declines in the CAC 40 while the Paris index remains flat at 8,341.99 points. The decline follows a 4% drop observed on July 8, which subsequent sessions failed to offset. The stock is now below its three moving averages: MM20 at €171.78 (-1.36%), MM50 at €173.17 (-2.15%), and MM200 at €237.43, indicating a medium-term retreat of -28.63% from the current price. The RSI at 49 remains neutral, showing no clear directional signal. The support at €162.25, tested at the end of June, remains the low reference point of the configuration, while monthly volatility stands at 8.95%.
A Tense Oil Context Weighing on Discretionary Spending
The resurgence of tensions around the Strait of Hormuz has reignited the energy risk premium: Brent crude jumps approximately 4% to $79.11 a barrel following a new round of US strikes against Iranian targets over the weekend. This surge in crude oil stokes fears of a renewed inflationary shock, likely to impact discretionary consumption on which a part of the group's sales depend. Year-over-year, the stock is down 30.09%, and 14.96% over three months, a trajectory that contrasts with the record quarterly results published last autumn. The group continues to be supported by the rollout of smart glasses with Meta, whose expanded range was unveiled at the end of June, and by the partnership formed in June with Applied Materials on next-generation optical systems. The next level to watch: the support at €162.25, whose holding is crucial for the stabilization of the stock after last week's decline.
