(News Bulletin 247) – The Parisian index posted a small increase this Thursday, October 23, while oil is climbing, propelled by American sanctions against Russian black gold. If Dassault Systèmes and STMicroelectronics suffered heavy corrections, Kering once again shone brightly.

The CAC 40 is on the rise again. The Parisian index rose 0.23% this Thursday, October 23, to 8,225.78 points, at the end of a day dominated by geopolitics and company results.

“Investors are reviewing another major series of publications against a backdrop of geopolitical and commercial uncertainty,” summarizes Briefing.com.

At the political level, the main news of the day remains the announcement of new American sanctions against two Russian oil companies, namely Rosneft and Lukoil, including a freezing of their assets in the United States and the ban on American companies from trading with them.

“These are the first significant American sanctions against Russia introduced since Trump’s return to the White House in January and they mark a radical change in tone compared to last week, when the two parties mentioned a possible meeting in Budapest between Trump and Putin” to discuss the Ukrainian file, underlines Deutsche Bank.

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Kering always higher

According to the Reuters agency, Chinese companies, such as Petrochina, have suspended their purchases of Russian crude, even though Beijing has expressly defended Moscow after this new set of sanctions.

Oil is rising accordingly. The December contract on North Sea Brent gained 5% to $65.73 per barrel while that of the same maturity on WTI listed in New York jumped 5.3% to $61.61 per barrel.

Which logically supports the action of the oil major Totalenergies, which gains 2.4% and carries the CAC 40.

Furthermore, the market continued to monitor trade tensions between the United States and China. Concern mounted after Reuters reported that the Trump administration was considering a plan to restrict exports to China on items containing U.S. software or produced using U.S. software.

“The article indicated that the plan was not the only option being considered, but was designed to retaliate against China’s restrictions on rare earth exports. This left a feeling that the two sides were engaging in difficult negotiations ahead of the possible Trump-Xi meeting,” explains Deutsche Bank.

The market has above all dissected a string of publications. If Kering (+8.4%) jumped again, after delivering less bad activity than expected in the third quarter, Dassault Systèmes (-12.8%), STMicroelectronics (-13.61%) and to a lesser extent Carrefour (-3.8%) all three disappointed.

Excluding the CAC 40, Sodexo fell once again (-7%) after delivering outlooks lower than expectations for the current financial year.

On the currency side, the euro is stable against the dollar at 1.1611 dollars.