CAC 40 Climbs to 8,270 Points Driven by Luxury and Defense, Despite Return of Volatility

A bullish session despite VIX nervousness

The Paris index is trading in positive territory since the opening, in line with a supportive European environment. The DAX is up by 0.67% at 24,781 points, and the STOXX 600 is advancing by 0.55%. The Tokyo exchange set the tone, closing with a 2.17% increase, with the Nikkei 225 at 65,416 points.

This positive tone is contrasted by a stress indicator showing a sharp increase: the VIX surged by 39.68% in one session to reach 21.51, a spike that reflects underlying nervousness in the U.S. markets. Wall Street sent mixed signals, with the Dow Jones down 0.16% and the NASDAQ up 0.86%. In Paris, the SBF 120 is following the same pace as the CAC, rising by 0.80% to 6,271 points.

Luxury Rebounds, Defense and Finance Provide Support

The hierarchy of gains illustrates a movement driven by several sectoral leaders. Kering leads the rankings with an increase of 2.51% to 255.25 euros, closely followed by EssilorLuxottica (+2.37% at 177.25 euros). The luxury and consumer goods segment is regaining momentum after several more turbulent weeks.

Aerospace and defense provide the other major pillar of the session. Safran gains 2.34% to 301.40 euros. The group has just announced, alongside Technip Energies, Airbus, and Tereos, the launch of the Rebound project, a sustainable aviation fuel (SAF) production unit at the port of Dunkirk, aiming for a capacity of 160,000 tons per year thanks to Alcohol-to-Jet technology. Additionally, the engine manufacturer is under keen observation following the announcement of a 120 million euro investment at its Montluçon site, intended to elevate the production of AASM Hammer guided bombs to new industrial levels, creating over 150 jobs.

Publicis Groupe climbs 2.21% to 89.92 euros, and Societe Generale completes the top five with an advance of 1.98% to 71.18 euros, following Citi's upgrade of the price target from 84 to 90 euros, with the buy recommendation maintained.

A few stocks decline without significant breakdown

The bearish compartment is narrow, and the fluctuations remain moderate. ArcelorMittal drops 0.89% to 58.22 euros, leading the declines in the index. Dassault Systèmes falls by 0.55% to 19.79 euros, followed by Bureau Veritas (-0.28% at 25.25 euros). The testing and certification specialist announced on Friday that it has received accreditation from the Standards Council of Canada to conduct independent railway safety assessments, in accordance with the CMREA method and CSA R114:2022 standard.

The most minimal declines are among two heavyweights on the list: TotalEnergies is down 0.12% at 77.25 euros, and Schneider Electric loses 0.11% at 270.20 euros. With only five stocks in the red and one stable, the bearish compartment remains anecdotal at midday and does not alter the overall momentum of a session dominated by luxury, aerospace, and finance.