China News Agency, Paris, March 12th (Reporter Li Yang) Affected by the deterioration of the French new crown pneumonia epidemic and the severe shocks in the international market, the French stock market CAC40 index closed 12.28% local time on the 12th, the largest single-day drop in the index's history.
Market analysts have used "Black Thursday" to describe the French stock market that day, saying that the market's plunge was "very alarming." Prior to the European Central Bank's monetary policy meeting, the French stock market had fallen 10%. The European Central Bank's monetary policy meeting stated that it would take a package of measures to deal with the impact of the new crown pneumonia epidemic, but kept the dominant interest rate in the euro area unchanged and failed to meet market expectations. After the announcement of the conference communique, the decline of the French stock market continued to expand.
The French stock market CAC40 index finally closed at 4044.26 points on the 12th, down 565.99 points from the previous trading day, a drop of 12.28%. This also means that the cumulative decline of CAC40 has reached as high as 34% this year, and the stock index has fallen to the level of February 2016.
The CAC40 index, established in 1987, is a stock quote index of the top 40 companies on the Paris Stock Exchange. It reflects the price fluctuations of the French stock market, and is listed as the two major European stock price indexes with the German DAX index. The biggest one-day drop before the CAC40 index was a 9.04% fall on October 6, 2008, when it was in the world financial crisis.
The French stock market fell sharply on that day. Among them, the stock prices of companies in the tourism and aircraft manufacturing industries fell sharply. The share price of Europa Car Rental, which operates car rental in France, plunged 29.07% on the day; the share price of Airbus plunged 16.73%. Market analysts pointed out that President Trump announced that the United States will suspend all European countries except the United Kingdom from travelling to the United States for a period of 30 days, which will have a huge impact on related industries.
European stock markets plunged across the board that day. The French CAC40 index and the German DAX index both fell more than 12%, and the British FTSE 100 index fell more than 10%. (Finish)