(RTTNews) – French stocks drifted lower Tuesday morning amid concerns about rising U.S.-Iran tensions and the potential impact of the conflict on global economic growth. Elevated oil prices and higher bond yields hurt as well.
The 60-day ceasefire agreement has expired, and Washington has rejected an extension. Meanwhile, Iran has warned of a strong response, saying its is preparing to shift to a “fully offensive” military posture.
Brent crude futures rose to $91.85 a barrel before paring gains.
The benchmark CAC 40, which dropped to 8,519.52 earlier this morning, was down 45.02 points or 0.52% at 8,534.58 a few minutes before noon.
STMicroelectronics fell 4.7%. Legrand and Schneider Electric lost 2.9% and 2.6%, respectively.
Kering, Safran, Michelin, Credit Agricole, Hermes International, Societe Generale and BNP Paribas slipped 1%-1.7%. Saint Gobain, Bouygues, Engie, Eurofins Scientific, Thales, Eiffage and AXA also drifted lower.
Dassault Systemes moved up 1.8%. TotalEnergies gained 1.3%, riding on higher oil prices. Sanofi climbed 1.1%. Carrefour, Orange, Renault, Accor, L’Oreal and LVMH advanced 0.4%-0.8%.