CAC 40 Finishes Slightly Up, Boosted by Kering and Energy Despite Tech Setbacks

A Stagnant Market Amid Close-to-Record Levels and Deep Sector Volatility

The CAC 40 ended nearly unchanged, gaining just a few points despite an extremely busy news cycle. This apparent stagnation actually conceals a fragmented session, where leading luxury stocks were offset by steep declines in the technology and retail sectors. The Paris index remains in its cruising range close to its historical highs reached earlier in the week at 8,271.48 points during the session and 8,258.86 points at close.
This proximity to record levels reflects a certain resilience of the French market in the face of global uncertainties. Compared to other European markets, the CAC 40 is faring relatively well: the EuroStoxx 50 increased by 0.55%, suggesting a relative outperformance of French stocks despite the turbulence.
Investors remain focused on the earnings season, which reveals a striking duality: companies show mixed performances, with some reassuring about their resilience while others implement drastic reductions in their targets. This increased volatility also reflects the impact of new geopolitical tensions concerning Western sanctions against Russia and Sino-American trade uncertainties, which weigh differently across sectors.

Kering Dominates: TotalEnergies Benefits from Sanctions Against Russia

Kering led the day with a spectacular surge of 8.71%, reaching 344.95 euros, reaffirming its status as the best performer of the CAC 40 since the beginning of the year with a cumulative increase exceeding 45%. The luxury group delivered third-quarter results that, while not outstanding, reassured the market. Revenue amounted to 3.4 billion euros, a 5% decline on a comparable basis, but this contraction marks a welcome slowdown after the 15% drop recorded in the previous quarter. This shift suggests a gradual stabilization in the luxury sector, which has previously been battered by weakened Asian demand.
Meanwhile, TotalEnergies rose by 2.02% to 54.10 euros, benefiting directly from the new geopolitical landscape. The Trump administration's announcement of additional sanctions against the Russian oil sector, supported by a tightening of European measures, sparked a surge in oil prices: Brent jumped 5% to $65.73 per barrel, while WTI soared 5.5% to $61.72. This increase in hydrocarbon prices logically benefits producers like TotalEnergies.
Thales also benefited from the positive momentum with a gain of 1.4%, confirming its 2025 financial targets and showing 9.1% organic revenue growth over nine months. Fnac Darty rounds out this optimistic picture with a 4.3% increase, driven by an upgrade in its operating margin forecasts.

The Sharp Downturn in Tech Stocks and Retail Giants

The downside has hit hard on tech giants and the consumer sector. Dassault Systèmes plunged 12.98% to 26.21 euros. The company reported disappointing quarterly revenue and, worse yet, lowered its growth target for 2025, delivering a severe blow to market hopes.
STMicroelectronics experienced an even more dramatic drop, falling 14.12% to 21.89 euros, impacted by disappointing operating results and quarterly sales targets deemed insufficient. This semiconductor sector debacle reflects ongoing concerns about tech outlooks amid rising US-China trade tensions.
In the retail sector, Carrefour fell 3.93% to 12.94 euros after falling short of expectations, while Renault declined 3.09% to 34.19 euros. More broadly, among the notable losers were Edenred, which dropped 3.38%, Capgemini 1.90%, Pernod Ricard 1.71%, and Stellantis 1.21%. These downturns highlight a session where investors mercilessly punished disappointing announcements, revealing increased scrutiny toward reduced targets as the earnings season unfolds.