Overview

• Paris’s CAC 40 edged down 0.10% to 7,758.52 as investors remained cautious before U.S.-EU trade talks and France’s budget measures.
• President Trump imposed 30% tariffs on all EU imports starting August 1 and warned of higher surcharges if Europe retaliates.
• Prime Minister François Bayrou introduced a €43.8 billion budget adjustment for 2026 that freezes social benefits, cuts two public holidays and faces a potential censure motion.
• Renault slashed its annual financial targets and saw its shares plunge 16%, while Stellantis announced the end of its hydrogen vehicle program.
• U.S. inflation rose to 2.7% in June, lifting Treasury yields and leaving the Nasdaq higher as the S&P 500 and Dow Jones fell, with Nvidia’s resumption of AI chip sales to China bolstering tech stocks.