CAC 40 Hits Record High Amid Easing Geopolitical Tensions

(RTTNews) - French stocks moved higher on Thursday amid easing concerns about geopolitical tensions and continued optimism about corporate earnings.

The positive progress in U.S.-Iran diplomatic efforts helped lift sentiment. Iran said it had reached an agreement with Oman on a proposed shipping route through the Strait of Hormuz, fueling hopes that the waterway could reopen soon.

The benchmark CAC 40, which advanced to a new record high of 8,742.21, was up 55.60 points or about 0.65% at 8,724.90 about a quarter past noon.

Hermes International climbed more than 3%. Publicis Groupe advanced 2.3%. Orange moved up 2.2% and Thales gained nearly 2%. Accor, Credit Agricole, AXA, Kering, L'Oreal, Societe Generale, BNP Paribas and TotalEnergies gained 1%-1.3%.

Legrand, Safran, Saint-Gobain, Danone, LVMH, Michelin, EssilorLuxottica, Airbus, Renault, Pernod Ricard and Dassault Systemes gained 0.5%-0.8%.

STMicroelectronics, Schneider Electric, Air Liquide and Carrefour drifted lower by 0.4%-0.7%.

On the economic front, data from statistical office INSEE showed private payroll employment in France fell 0.1% quarter-on-quarter, or 19,300 jobs, to 21 million in the second quarter of 2026, in line with expectations.

Data from S&P Global showed the S&P Global France Construction PMI rose to 41.5 in July from 38.2 in June, marking its highest level since February.

Retail sales in Euro zone dropped 0.3% in June after seeing a 0.4% increase in May. Retail sales were expected to rise by 0.1% in June.