CAC 40 Closes Lower as Tensions Between Washington and Tehran Weigh on Paris Stock Exchange

A Session Under Geopolitical Tension

Donald Trump's threat to « bring Iran back to the Stone Age » if no agreement was reached before the expiration of his deadline—set for Wednesday at 2 a.m. French time—was the central focus of the day. Although the American president denied any potential use of nuclear weapons in the late afternoon, his aggressive rhetoric did not reassure investors. Brent crude oil, which hit $111.40 in the morning, remained firmly anchored above $110, indicating a highly pressured oil market.

In this context, the CAC 40 managed to find upward momentum this morning, surpassing +1%. The session then proceeded cautiously, without a major sector catalyst to counterbalance concerns related to the Middle East. The SBF 120 followed the same path, closing down 0.66% at 5,993.18 points. The negative tone was widespread: an overwhelming majority of CAC 40 stocks declined, indicating a broad retreat rather than targeting a few isolated cases.

STMicroelectronics and Publicis Withstand the Red Wave

In this bearish landscape, a few stocks still managed to stand out. STMicroelectronics marked the best performance of the day with a leap of 4.18% to 30.30 euros, distinctly outperforming the rest of the index. The Franco-Italian semiconductor manufacturer benefited from renewed interest in the technology sector, even as the majority of the market lost ground.

Publicis Groupe also ended in positive territory, up 1.13% at 73.30 euros, followed by Orange (+0.61% at 18 euros) and Société Générale (+0.58% at 64.61 euros). Air Liquide closed with a slight increase of 0.54% at 181.50 euros, as Alphavalue raised its target price on the stock from 204 to 205 euros while maintaining its « accumulate » recommendation. However, these gains remain isolated in an index largely dominated by declines.

Stellantis and Kering lag behind, Sanofi falls despite strong clinical results

On the downside, Stellantis experienced the largest drop of the day, plummeting 3.77% to 6.33 euros. The car manufacturer, already weakened in recent months, suffered again in an environment marked by rising energy costs. Renault was not spared either, falling 2.26% to 29.42 euros, as the group announced the consolidation of its charging activities under the single brand Plug Inn. The automotive sector as a whole suffered from the spike in crude oil prices.

Kering fell 2.83% to 257.75 euros, while Eurofins Scientific lost 2.78% to 65.04 euros. The case of Sanofi is more paradoxical: the pharmaceutical company declined 2.51% to 80.51 euros, even though it announced positive phase 2 results for its drug candidate lunsekimig in asthma and chronic rhinosinusitis with nasal polyps. The positive clinical news was not enough to protect the stock from the general downward movement that dominated this session, marked by geopolitical risks.