The CAC 40 Rises Above 7,870 Points, Driven by Luxury and Defense

A Session Hinged on U.S. Inflation

The CAC 40 gains 0.63% to 7,876.99 points. The trend remains solidly upward: 33 of the index's stocks rise, compared to only 7 declining. This movement aligns with a consistent European context, as the STOXX 600 advances by 0.61% and the DAX by 0.59% during the session.
The day's mood is largely influenced by developments across the Atlantic. Investors are awaiting the release of the U.S. Consumer Price Index for September on October 14, closely watched ahead of the Federal Reserve meeting on October 27 and 28. The consensus anticipates an acceleration of annual inflation to 3.6%. Markets now factor in about a 77% probability of a monetary status quo at the end of October, according to futures contracts. On Tuesday evening on Wall Street, U.S. indices ended slightly lower, with the S&P 500 losing 0.02% and the Nasdaq 100 falling by 0.31% at the close.

Luxury and Defense Lead the Way, Engie Follows with New Partnership

At the top of the index, EssilorLuxottica rises by 2.73% to 150.30 euros, followed by Hermès International, up 1.71% to 1,306.50 euros. The luxury sector, a traditional powerhouse of the Paris stock market, sets the tone for the morning.
Defense is also making gains: Thales advances by 1.68% to 224.50 euros. Pernod Ricard climbs by 1.59%. Engie progresses by 1.48% to 23.36 euros, as the energy company announced an alliance with CMA CGM to produce biomethane in Le Havre. According to the project's terms, the planned unit is expected to supply 7,000 tons of biomethane annually to the shipowner's fleet starting in 2029, although construction is still subject to a final investment decision. Details of the operation can be found in the brief dedicated to Engie and CMA CGM.

Technology and Banks Against the Tide

In terms of the rare declines, the technology sector slightly weighs on the stock market. Eurofins Scientific drops by 1.33% to 77.42 euros, ranking last on the index, followed by Dassault Systèmes, down 0.75%, and Capgemini, which falls by 0.71%.
Crédit Agricole slips by 0.63% to 15.82 euros, as the « green bank » has completed the acquisition of IKB from Lone Star Funds. The mutual group will take over 100% of the German lender's capital, with an expected impact of about 20 basis points on its CET1 ratio, the finalization being particularly subject to the approval of the European Central Bank. The details of the agreement are outlined in the brief on Crédit Agricole's acquisition of IKB. Renault rounds out the declines with a limited drop of 0.26%. In the background, the Paris session remains marked by persistent tension on French debt, as deputies have begun examining the 2027 budget plan and the yield on the 10-year OAT remains near its highest levels since the early 2000s.