CAC 40 Surpasses 8,250 Points Driven by Strong Recovery in Luxury and Financials

A European session boosted by energy easing

The upward movement is part of a uniform European context, following a solid close on Wall Street, where the Nasdaq increased by 0.91% and the S&P 500 by 0.58%, while the Nikkei 225 soared by 2.53% in Tokyo.

In the immediate background, diplomatic advances concerning the conflict between the United States, Israel, and Iran are prominent: a proposed 60-day extension of the ceasefire, along with a gradual easing of restrictions in the Strait of Hormuz, has pushed Brent crude down to around $92.67 per barrel and WTI to about $87.64. This easing in crude prices is providing relief to sectors sensitive to energy costs and interest rates.

Meanwhile, American data published this week continues to evoke caution: first-quarter GDP growth revised to 1.6%, the PCE index at 3.8% year-on-year in April, and a more assertive tone from several Federal Reserve members. But in Paris, it's the relief in energy prices that is shaping the midday mood.

Luxury, Banking, and Leading Materials

The rise is led by Saint-Gobain, which gains 2.47% to 79.62 euros, in the wake of European cyclical stocks. The materials group is closely followed by Accor (+2.42% to 47.80 euros), benefiting from the prospect of normalized maritime and air traffic.

Luxury fully participates in the movement with Kering, up 2.39% to 256.95 euros. Financial stocks follow: Société Générale rises 2.07% to 71.51 euros, as the group announced this week the launch of its 2026 employee share ownership plan, set at 54.75 euros per share, marking the 33rd operation of this kind within the bank.

L'Oréal rounds out the top five with an increase of 1.82% to 393.70 euros, despite a price target adjustment by China Merchants, which maintains its « hold » recommendation while lowering its target from 404.50 to 393.00 euros. The underlying movement in cyclicals and consumer stocks remains dominant, with no discordant notes disrupting the momentum of the leading index.

Capgemini lags behind, limited decline in defensive stocks

Conversely, Capgemini holds the last spot on the ranking with a decline of 0.69%, closing at 100.55 euros. This week, the group unveiled its strategic roadmap for 2028, based on deploying agent-based AI for its clients, with an annual growth target between 5.5% and 7.5%. Subsequently, UBS lowered its price target from 112 to 107 euros, maintaining a neutral stance.

Other declines remain moderate and are concentrated among defensive stocks or those exposed to interest rates: Orange fell by 0.55% to 17.99 euros, Danone by 0.55% to 61.52 euros, Euronext by 0.50% to 139.10 euros, and Air Liquide by 0.31% to 181.44 euros.