Paris stocks rise 1.83% on hopes of US-Iran peace deal

The Paris Stock Exchange's primary index, the CAC-40, experienced a notable rebound, climbing 1.83% as markets embraced optimism surrounding a potential peace agreement between the United States and Iran. This surge reflects a broader market sentiment shift following President Donald Trump's apparent change of tone, moving from threats of imminent military action to suggesting a deal was close. The index closed at 8,350.87 points, with 35 stocks advancing and five declining. Over the week, the CAC-40 improved by 1.61%. Leading the gains were the bank Société Générale, which soared 6.15%, and the hotel chain Accor, up 5.62%. Both companies are expected to benefit from the potential stabilization of financial and tourism markets. Steelmaker ArcelorMittal also saw a significant increase, rising 5.52%. However, the oil giant TotalEnergies, a major component of the index, experienced a slight dip of 2.08%, potentially due to concerns that a peace agreement could lead to a decrease in oil prices. The market's positive reaction underscores the significant impact geopolitical developments have on financial stability and investor confidence.