CAC 40 Stalls Below 7,880 Points, Stellantis Surges Over 5%

A Cautious Session, Driven by Earnings

The Paris index is wavering around the break-even point, following a slight decline of 0.24% in the STOXX 600. The FTSE 100 is down 0.33% during the session, while the DAX remains almost stable (+0.01%). The dispersion reflects the lack of a dominant theme: 17 CAC 40 stocks are rising, 21 are falling, and 2 remain stable.

The real driver of the day lies elsewhere. The Fed's Monetary Policy Committee is concluding its meeting this Wednesday, with a decision expected late in the afternoon, Paris time. Markets are moving cautiously ahead of this meeting, especially since the latest U.S. inflation statistics exceeded expectations and consumer confidence has rebounded across the Atlantic. Despite this, the Nasdaq 100 gained 1.29% and the S&P 500 rose 0.60% at the close on Tuesday evening on Wall Street.

In the background, the French risk premium remains under scrutiny. France's 10-year bond yield is hovering near 5%, an unprecedented level since the early 2000s, and the gap with the German Bund remains at a historically high point, as the National Assembly continues to examine the 2027 budget bill.

Stellantis and Danone Boosted by Their Reports

Leading the CAC 40, Stellantis soared by 5.43% to €3.91. The automaker released improved third-quarter results year-on-year and reaffirmed its 2026 targets, including a positive industrial free cash flow expected in 2027. The regional outlook has shifted: North America has returned to profitability while Europe has moved into loss. The stock, which hit a five-year low on October 22, continues its rebound.

Danone follows with a rise of 2.56% to €63.20. The food group announced a sales increase of 4% in the third quarter, on a comparable basis, mainly driven by price effects. For the first nine months, comparable growth reached 3.6%, within the confirmed annual range.

Legrand (+1.82%) and Schneider Electric (+1.46%) round out the top of the rankings in a positively trending electrical equipment sector. CIC Market Solutions reaffirmed its favorable position on Schneider Electric, maintaining a target price.

Dassault Systèmes Penalized Despite Better-Than-Expected Earnings

Conversely, Dassault Systèmes closes the list with a 4.62% drop to €23.55. The publisher, however, reported a 5% increase in revenue in the third quarter, reaching €1.55 billion, exceeding expectations, with a non-IFRS operating margin rising to 31.6%. Additionally, the group just completed the acquisition of ArisGlobal for $1.8 billion in the life sciences sector.

ArcelorMittal drops 2.13% and Kering 1.68%, down to €176.48. Opinions differ on the luxury house: Alphavalue initiates a buy recommendation with a target of €265, while Citi, remaining neutral, lowers its target from €243 to €201. Safran slips by 1.31% following Citi's revision of its target from €345 to €310. Publicis Groupe rounds out the biggest declines with a decrease of 0.98%.