LVMH Stock Falls to Lowest Level Since 2020 and Breaks Through Support
The luxury group extends its decline on Wednesday and crosses a symbolic threshold: during the session, the stock broke through its 443.10 € support level and touched 435.60 €, an unprecedented low since the 2020 lows. The close at 439 € is insufficient to erase the technical signal sent during the session, against the backdrop of the CAC 40 declining 0.26 % amid escalating military tensions between Iran and the United States.
Six-Year Low Breached During Session, 443 € Support Broken to the Downside
The LVMH stock touched 435.60 € during the session, breaking the previous downside record of 436.20 € recorded in 2020, the year of the Covid-19 pandemic. The stock closed at 439 €, down 1.35 % compared to the previous day, but remains below the 443.10 € support broken during the day. Over one week, the decline reaches 2.6 %; over one month, it exceeds 7.6 %.
The technical configuration has deteriorated: the price stands below the 20-day moving average at 459.94 € (gap of 4.55 %), below the 50-day moving average at 474.73 € (gap of 7.53 %) and well below the 200-day moving average at 519.16 € (gap of 15.44 %). The RSI at 40 remains in neutral territory, with no marked signal of seller exhaustion at this stage. The former support at 443.10 € now becomes a resistance to monitor, while the next reference zone is located at the upper resistance of 486.90 €, far removed from the current price.
Solid Half-Year Results but Unfavorable Geopolitical and Sector Context
When publishing the first half 2026 results on July 27, LVMH had displayed a confident tone, mentioning an acceleration in growth in the second quarter. Among the risks identified on that occasion were a disrupted geopolitical context, a negative currency impact of 5 % on sales and an unfavorable scope effect of 1 % related to disposals. This geopolitical context takes on an additional dimension on Wednesday: Iran launched a military strike against American facilities in Jordan, Iraq and Bahrain, exacerbating regional tensions.
The threat to the Strait of Hormuz, a critical passage for global oil transit according to Donald Trump's statements, fuels general market uncertainty. On the sector side, recent data on luxury goods in China remain uninspiring: jewelry and gold sales declined 10.1 % year-on-year in July 2026 according to Chinese statistics, while Swiss watchmaking exports to China fell 16.5 % year-on-year. These dynamics weigh on short-term prospects for a group whose exposure to Asian markets remains structurally significant.
