CAC 40: Paris Holds Steady Despite Oil Barrel Above $88

A Session Influenced by Geopolitics

The mood in the European markets this Monday is influenced by the escalating conflict between the United States and Iran, which has entered its ninth night of reciprocal strikes. Brent crude is trading above $88 per barrel, its highest since mid-June, fueled by the decline in tanker traffic through the Strait of Hormuz and the continuation of the U.S. naval blockade on Iranian ports.
This energy backdrop is weighing on markets that opened before Paris: the Nikkei 225 dropped 4.03% in Tokyo, while the S&P 500 and the Nasdaq ended Friday with significant declines of 1.01% and 1.40%, respectively. In contrast, Hong Kong rebounded by 2.36%. In Europe, the picture is more mixed: the DAX is up 0.31%, the STOXX 600 is stagnant (+0.05%), and the FTSE 100 is down 0.39%.

Technology, Advertising, and Leading Banks

The dispersion of the Parisian market remains favorable, with 24 stocks rising, 15 declining, and one stable. Leading the CAC 40, Dassault Systèmes advances by 1.73%, followed by Publicis Groupe (+1.62%). The steelmaker ArcelorMittal gains 1.55%, aligning with the general strength of European industrial stocks.
The banking sector is also faring well, with Société Générale up by 1.38%. The semiconductor company STMicroelectronics completes the top performers with a gain of 1.32%, in a context where European tech stocks are moving against the downward trend shown by Wall Street at the end of last week.

Luxury, Materials, and Aerospace Struggling

At the other end of the spectrum, Saint-Gobain shows the steepest decline in the index, at -1.42%. Luxury giant LVMH drops 1.19% amid concerns about global purchasing power resurfacing with rising energy prices. Market operator Euronext loses 0.94%, Safran falls 0.76%, and L'Oréal decreases by 0.68%.
The decline in luxury and cosmetics, combined with that of aerospace, contrasts with the strength of cyclical stocks and finance. This sector rotation sets the tone for a session where Paris manages to limit the impact of international tensions, even as the Dow Jones closed down 0.77% on Friday and Asian markets sent mixed signals. Meanwhile, the SBF 120 rises by 0.22% to 6,323.29 points, confirming the cautiously positive tone of the Paris market midway through the day.