adds new data to EC5411
Paris, June 14 (EFECOM).- The general index of the Paris Stock Exchange, the CAC-40, suffered a sharp fall of 2.66% this Friday, once again gripped by political uncertainty ahead of the legislative elections in France , in its worst week since March 2022 and the Russian invasion of Ukraine.
Given the fear that the next government that emerges from the June 30 and July 7 elections will be headed by the extreme right or, eventually, the new left-wing coalition of the Popular Front, sales orders overwhelmingly dominated a another day on the floor.
The indicator had started the day with a moderate decrease, but already below 7,700 points and the situation worsened as the day progressed.
In the afternoon it lost more than 3% and stood at a minimum of 7,464.84 points, although during the final stretch of the session the decline moderated to finally close at 7,503.27 points.
This means that in one week the French market has lost 6.48% and in the last month the accumulated fall is 9.03%. In this way, the balance since the beginning of the year has become slightly negative (-0.03%).
The fever that was experienced on the trading floor was also reflected in the very high level of activity, since securities worth 6,687 million euros were traded, when it is now unusual for the 5,000 million bar to be exceeded.
All CAC-40 stocks traded lower, with the exception of the business software company Dassault Systèmes, which advanced an insignificant 0.03%, but which contrasts with the evolution of those that fell the most.
The largest decline of the day was carried out by the electronics group for aeronautical, railway and defense equipment Thales, which lost 6.70%.
Next came the insurer AXA (-4.91%), the customer services company Teleperformance (-4.68%), the waste and water management group Veolia (-4.64%) and the automobile manufacturer Stellantis (-4.39%).
If we open the temporal perspective a little more and examine what has happened since the French president, Emmanuel Macron, announced on Sunday the call for early legislative elections, the sectors globally hardest hit this week have been the financial sector and concessions companies.
The three large French banks were among the eight biggest falls on the selective in those five days: Sóciété Générale 14.87%, BNP Paribas 11.99% and Crédit Agricole 10.96%.
One of the focuses of attention this week for investors has been the debt market, since interest rates for securities issued by France have risen at a rate not seen for years.
The French risk premium (the differential between the 10-year German bond rates, which serve as a reference, and the French ones) has risen to its highest level in the last 17 years, something that Finance Minister Bruno Le Maire , attributes it to the risk that investors perceive in the case – more than plausible – that the extreme right reaches the Government. EFECOM
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