CAC 40 Gives Up Early Gains

French stocks traded slightly lower on Monday, giving up early gains despite improvement in risk sentiment in financial markets.

Investors’ risk appetite improved somewhat in the absence of fresh retaliatory attacks by Israel or Iran and the U.S passing a crucial aid package for Ukraine.

While fears of broader conflict in the Middle East diminished, the possibility that the U.S. Federal Reserve will leave interest rates steady this year served to keep underlying sentiment cautious to some extent.

PCE inflation report and earnings from Tesla, Meta, Microsoft, and Google parent Alphabet remain on investors’ radar ahead of the FOMC meeting due on May 1.

The benchmark CAC 40 was marginally lower at 8,017 after ending little changed with a negative bias on Friday.