The flagship CAC 40 index fell 24.19 points to 7,229.27 points. The day before, it had lost 1.70%, its worst session since March 15, in the midst of panic around the US banking sector.

This follows a decline of 1.33% on Tuesday, where profit taking on luxury accentuated the decline in the Parisian rating. The CAC 40 is at its lowest since late March as it approached its all-time high on Friday. Meanwhile, it has lost more than 4%.

"The market is still very focused on US debt," said Andrea Tuéni, an analyst at Saxo Bank.

A week before a possible default by the United States, no major progress has yet been recorded between the White House and the Republican opposition in Congress on the issue of raising the debt ceiling of the United States.

"The negotiations are not progressing so quickly, according to the experience of recent years it is often settled at the last minute," warns Andrea Tuéni.

On Wednesday evening, the financial rating agency Fitch placed the rating of the United States on negative watch, which means that it plans to lower it.

The rise in interest rates on the bond market in the face of investors who "increasingly anticipate a less accommodative monetary policy" in the United States may also weigh on equity markets, said Mr. Tuéni.

In the United States, the statistical data remain solid, proof that the American economy refuses to bend its back.

In Germany, on the other hand, the economy officially fell into recession with a second quarter of decline in the Gross Domestic Product (-0.3%). In addition, German consumer sentiment is expected to weaken in June, according to another indicator released on Thursday.

For the France, the business climate deteriorated again in May, for the third consecutive month, due to a deterioration in all sectors of commercial activity, said Thursday INSEE.

Soitec in the wheel of Nvidia

Semiconductor manufacturer Soitec achieved the best performance of the SBF 120, with a gain of 7.74% to 130.80 euros, in the wake of the better-than-expected results of the global giant Nvidia thanks to artificial intelligence (AI).

Nvidia has a "competitive advantage" on AI over other companies in the same chip and semiconductor sector, which explains why not all of its competitors have benefited from the uptrend, according to Andrea Tuéni.

STMicroelectronics lost 0.33% to 39.17 euros and Teleperformance fell 5.70% to 147.35 euros, at the bottom of the CAC 40.

AI is creating long-term uncertainty for the call center giant's business, according to the latest note from analysts at Oddo BHF.

Derichebourg rejected

The recycling group Derichebourg was heckled (-7.02% to 4.87 euros) after its half-year results published on Wednesday, with a decline in profitability, mainly due to the decline in turnover of the recycling division and higher costs.

Pierre et Vacances not well received

The Pierre et Vacances-Center Parcs group (-5.33% to €1.67) reduced its losses in the first half of its staggered financial year to €104.4 million, compared to €114.9 million in the first half of the previous year, and confirmed the increase in its financial forecasts for the 2022/2023 financial year.

© 2023 AFP