FX.co ★ CAC 40 Edges Lower as Risk-Off Sentiment Persists

The CAC 40 index declined by 0.3% to approximately 8,115 on Monday, continuing its downward trajectory from the previous week. This movement was influenced by a broader global risk aversion, fueled by ongoing geopolitical tensions and trade uncertainties. Despite President Trump's decision to retract the tariff threat on Greenland, he issued a stark warning that Canada could face 100% tariffs if it finalizes a trade agreement with China. This situation has left investors on edge regarding the potential normalization of tariffs as a strategic tool in international trade.

Danone was among the biggest losers, dropping 4.6% following a recall of specific batches of its infant formula due to concerns about cereulide contamination on Friday. Other significant losses were noted in STMicroelectronics (-1.5%), Airbus (-1.4%), Accor (-1.3%), and Essilor (-1.2%). Conversely, TotalEnergies SE saw a rise of 1.2% after it secured an agreement with the Libyan government to extend its oil and gas exploration concession in the Waha oil field until 2050, while revising financial terms to enhance production capabilities. Bank stocks also experienced gains: Société Générale rose by 1.2%, Crédit Agricole by 0.6%, and BNP Paribas by 0.4%.