France’s CAC 40 index held onto marginal gains Monday, building on recent momentum as geopolitical concerns continued to ease across European markets.
Investor sentiment was also supported by expectations that central banks would likely hold interest rates steady for the near term, providing a degree of stability.
The CAC 40 reached an intraday high of 8,561.38 before pulling back, ultimately trading up just 10.72 points, or 0.13%, at 8,518.79 around midday.
Thales led the gains with a rally of 2%, driven by news of a significant acquisition in the high-technology industrial space.
The defense and technology firm agreed to buy the Gorge family’s 35.51% stake in high-technology industrial group Exail Technologies, bolstering its portfolio of advanced industrial assets.
EssilorLuxottica rose 2.3%, while Publicis Groupe gained nearly 2%, reflecting broad strength among large-cap French equities in the session.
Stellantis advanced 1.8%, and Euronext, Capgemini, Airbus, Dassault Systemes, and LVMH each climbed between 1% and 1.5% during the trading day.
Vinci shares fell approximately 2% despite the concessions and construction company securing three long-term road infrastructure and maintenance contracts in Greater London with a combined value of nearly €70 million per year.
ArcelorMittal dropped 2.5% and Eiffage shed 2%, while Schneider Electric, STMicroelectronics, Engie, Orange, Bouygues, Legrand, Carrefour, Veolia Environment, and Accor lost between 0.5% and 1.6%.
On the economic data front, figures from S&P Global showed the France Construction PMI fell to 38.2 in June from 39.6 in May, signaling a faster contraction in French construction activity.
The weaker construction data served as a headwind for the broader index, limiting the upside potential that had built during the early part of the session.
Michelin, Sanofi, Eurofins Scientific, L’Oreal, Societe Generale, AXA, Bureau Veritas, Kering, Safran, and Danone each posted modest gains between 0.5% and 0.9%.
Overall, the session reflected a cautious but broadly positive mood across French equities, with selective buying in defense, luxury, and technology names carrying much of the weight.
