Overview
- The CAC 40 fell 1.70% to 7,709.81 on Tuesday after a 1.59% drop Monday, leaving the index down about 3.3% across two sessions.
- Financials led the losses, with Société Générale down 6.84%, Crédit Agricole 5.44%, BNP Paribas 4.23% and insurer Axa 4.03% at the close.
- France’s 10‑year yield hovered near 3.50% and the spread to German Bunds widened to roughly 0.77 percentage point, with borrowing costs approaching Italy near 3.55%.
- Prime Minister François Bayrou will seek a confidence vote on Sept. 8 in an extraordinary parliamentary session requested from President Emmanuel Macron after a nearly €44 billion savings plan was rejected.
- Analysts caution the government faces a likely defeat and warn of sovereign‑risk pressures, with protest actions signaled for Sept. 10 and Fitch’s rating decision due Sept. 12.