FX.co ★ CAC 40 Rises Ahead of Powell Speech

On Tuesday, Paris's CAC 40 index experienced a modest increase of 0.3% to close at 7,855, recuperating from the decline observed in the previous session. This improvement was driven by strength in technology stocks, which offset the impact of discouraging economic data. Notably, NVIDIA's announcement of its intention to invest up to $100 billion in OpenAI for the development of next-generation AI data centers positively influenced market sentiment in the tech sector. Meanwhile, on the economic data front, flash PMI readings from HCOB revealed the most significant contraction in French private-sector activity since April, with both manufacturing and services under pressure. Investors were also anticipating the speech by Federal Reserve Chair Jerome Powell later in the day, hoping for insights into the outlook for the US economy and potential policy changes. Among individual stocks, Schneider Electric gained 2.0%, Teleperformance rose by 1.4%, while Saint-Gobain and Capgemini each advanced by 1.3%. In contrast, Sanofi saw a decrease of 0.4%, while both EssilorLuxottica and TotalEnergies slipped by 0.2%.