The flagship CAC 40 index rose 23.57 points to 7,345.96 points and is close to its all-time high above 7,400 points reached in early March.
Last week, the Parisian rating achieved its best weekly performance since the beginning of January (+3.59%) to conclude its best quarter (+13.11%) since the end of 2020.
The announcement on Sunday of eight major hydrocarbon exporting countries, including Saudi Arabia, Iraq, Algeria, the Emirates, Oman and Kuwait, to reduce their production in May was "a surprise" for the markets, according to Clémence de Rothiacob, manager at Richelieu Gestion.
Russia also announced an extension of its crude oil production cuts of 500,000 barrels per day until the end of the year.
In response, oil prices jumped more than 6% on Monday around 18:00, with North Sea Brent exceeding $ 84 a barrel.
This trend "will revive inflationary pressures," worries Clémence de Rothiacob. "This is bad news for Europe and the United States because it should strengthen the will of central banks to continue to have this monetary tightening policy."
A contrast with the latest market expectations: "Given the problems on the banks and the rather reassuring inflation data, we thought we would have faster" a change in the direction of the US Federal Reserve's policy, comments Clémence de Rothiacob.
Banks stay green
The banking crisis, which shook the markets in March, is completely erased for the CAC 40 index but not yet for bank shares. They are still down sharply from their valuation at the beginning of the year, but continue to recover.
Societe Generale rose 2.48% to 21.30 euros, BNP Paribas 1.07% to 55.80 euros and Crédit Agricole 0.67% to 10.47 euros.
Oil stocks fuel
TotalEnergies posted the best performance of the CAC 40, rising 5.89% to 57.56 euros per share thanks to the rebound in oil prices.
On the broader SBF 120 index, CGG gained 6.46% to 0.76 euros, Vallourec 2.80% to 11.95 euros and Technip Energies 4.60% to 20.56 euros.
© 2023 AFP