The CAC 40 shows signs of recovery with a remarkable rebound from Kering

A Paris session energized by luxury

The CAC 40 is up 0.4% at midday, reaching 8,356.24 points in a decidedly positive setup. Market dispersion indicates a relatively healthy environment: 23 stocks are up, while only 15 are down, and 2 remain unchanged. This favorable trend contrasts with the more hesitant sessions seen recently in the Paris market.
Today's mood is clearly influenced by the rebound in the luxury sector, which is regaining momentum after months of turmoil. Investors seem to be interpreting signals from major companies in the sector optimistically, despite ongoing challenging fundamentals. The movement is strong enough to lift the benchmark index and create a positive dynamic across the board.

Kering Soars Despite Significant Revenue Decline

The star of the day is undoubtedly Kering, which surged 11.26% to 288.95 euros, emerging as the top contributor to the index's rise. On Tuesday, the luxury group released its 2025 results, showing a 13% decline in revenue to 14.7 billion euros. However, investors seem reassured by the prospect of returning to growth in 2026 and the strengthened balance sheet.
Other luxury sector stocks also demonstrate strong resilience: Hermès International rose 2.41% to 2,122 euros, reaffirming its status as a safe haven within the sector.
Pernod Ricard, although lagging slightly, also gained 1.95% to 81.62 euros, benefiting from the renewed appetite for exceptional French stocks. This collective momentum illustrates a repositioning movement following several months of severe corrections.
The automotive sector is also joining the upward trend: Stellantis climbed 4.86% to 6.43 euros after the fallout from its results a few days ago, and Renault gained 2.45% to 31.79 euros.

Targeted Profit-Taking in Insurance and Infrastructure

Against the general trend, a few defensive stocks are taking a hit. Axa is down 2.23% to 38.66 euros, marking the biggest decline of the day. The insurer appears to be experiencing profit-taking following several sessions of gains.
Safran slips 0.76% to 312 euros, Orange falls 0.66% to 16.49 euros, while Vinci drops 0.56% to 132.35 euros. EssilorLuxottica rounds out the list by retreating 0.55% to 253.40 euros. These declines remain modest and are more indicative of sector rotation than genuine market mistrust. Investors seem to be favoring cyclical and growth stocks over the most defensive positions in the Paris market.