CAC 40 Continues Midday Rise Driven by Automotive and Technology Sectors
As of midday Thursday, the Paris Stock Exchange is on a positive trajectory, with the CAC 40 up 0.43%. The automotive and technology sectors are the main drivers of this increase, while defensive sectors are experiencing a more moderate rise. The market remains influenced by the anticipation of a Federal Reserve rate cut in the coming days, supported by disappointing employment data from the United States.
Automotive and technology sectors dominate extensively
The automotive sector is literally soaring above the market, driven by a very positive momentum that began in the previous session. Renault leads the CAC 40 with a gain of 5.37%, confirming investor appetite for cyclical stocks amid more favorable prospects for the US economy and industrial activities. Stellantis follows with an increase of 3.95%, benefiting from an upgrade by UBS from neutral to buy. The Swiss bank anticipates a recovery in North America thanks to a more favorable product mix and potential easing of emission standards.
The electronics and semiconductor sector is not lagging behind, with STMicroelectronics gaining 2.60%. These three stocks illustrate renewed investor confidence in beneficiaries of improved macroeconomic conditions and a potential rebound in demand, particularly in the United States, where rate cut expectations are fueling hopes of boosting economic activity.
Defensive Sectors and Subtle Strategies
Beyond the standout performers in the industrial sector, more defensive sectors show more measured but generally positive performances. The banking sector sees steady gains, with Société Générale up 2.23%, BNP Paribas increasing by 1.29%, and Crédit Agricole rising 0.51%, benefiting from improving interest rate prospects, which could potentially widen interest margins in the medium term. Capgemini and Schneider Electric also see significant growth, up 3.36% and 3.18% respectively.
The luxury sector is holding up without much enthusiasm, with LVMH and L'Oréal gaining 0.51% and 0.49% respectively, while Hermès registers a modest increase of 0.62%. Conversely, some stocks are either holding steady or declining. Pernod Ricard drops 1.39%, affected by profit-taking. Safran decreases by 1.25% and Euronext by 1.17%. Meanwhile, Airbus, despite a 4% gain in the previous session, sees a slight correction with a 0.34% decline, reflecting some investor caution following the announcement of reduced delivery targets for 2025.
This content has been automatically translated using artificial intelligence. While we strive for accuracy, some nuances may differ from the original French version.
