Rising Risk Appetite Lifts CAC 40
(RTTNews) - The CAC 40 index that tracks the 40 largest French stocks based on the Euronext Paris rallied on Tuesday amidst a growing risk appetite in global markets. The less-than-feared market disruption from the fresh sanctions imposed by the U.S. on Iran also supported sentiment. Markets also cheered the more than 2 percent decline in crude oil prices.
The CAC 40 index that tracks the 40 largest French stocks based on the Euronext Paris is currently trading at 8,481.01, gaining 28 points or 0.33 percent from the previous close of 8,453.01. The day's trading ranged between 8,501.51 and 8,461.18.
At current levels, the index has gained more than 8 percent over the past 1 year. Amidst the firm sentiment, only 17 scrips in the 40-stock index are trading below the flatline.
SAFRAN as well as Legrand topped gains with a surge of around 2.1 percent. Schneider Electric also added close to 2 percent.
Renault led losses with a decline of 2.8 percent followed by Pernod Ricard as well as Kering that shed around 1.8 percent.
Amidst a decline in crude oil prices and a less harsh-than-expected sanctions regime imposed by the U.S. on Iran, global bond yields mostly softened. France's 10-year bond yields have declined 0.85 percent to 4.080 percent from 4.115 percent a day earlier. Yields ranged between 4.069 percent and 4.135 percent in the day's trading.
The greenback's strength has helped the Dollar Index remain firm above the flatline in Tuesday's trading. The 6-currency Dollar Index has gained 0.04 percent to 99.04. The index was at 99 a day earlier. The EUR/USD pair has in the meanwhile slipped 0.03 percent to 1.1660. The pair ranged between 1.1674 and 1.1651. The EUR/GBP pair is trading flat at 0.8553. The EUR/JPY pair has added 0.11 percent to trade at 185.75.
Data released earlier in the day showed France's consumer confidence indicator remaining unchanged at 86 in August, slightly missing market expectations of 87.
