FX.co ★ CAC 40 Slips to One-Month Low

On Friday, the CAC 40 index experienced a decline of 0.5%, settling at 7,940 points and remaining close to its lowest mark since October 14. This decrease was primarily driven by significant losses in companies such as Safran, Schneider Electric, TotalEnergies, Airbus, and Essilor, each dropping over 1%. This downturn came in the wake of a major sell-off on Wall Street on Thursday—its most significant since April—attributed to worries about inflated AI stock valuations and diminishing hopes for a Federal Reserve rate cut in December. These concerns were amplified by robust jobs data, which overshadowed Nvidia's better-than-anticipated earnings results. In Europe, market sentiment was also influenced by reports hinting at potential advances towards a peace agreement in Ukraine, suggesting that Washington and Moscow might be discreetly discussing a plan that could end the conflict, contingent upon Kyiv conceding the entire Donbas region and significantly reducing its military presence. Economically, preliminary PMI data indicated that French private-sector activity is nearing stabilization in November after experiencing 14 consecutive months of contraction, bolstered by a recovery in service sector output.