Around 09:50 (07:50 GMT), the flagship CAC 40 index rose 0.29%, or 20.26 points, to 7,339.44 points.

On Friday, the Parisian rating had experienced a technical rebound of 1.24%, but had fallen by 2.31% on the week, its worst performance since mid-March and tensions on the banking sector.

The idea of a positive outcome to the negotiations between US President Joe Biden and Republican leader Kevin McCarthy was already germinating in the heads of investors at the end of last week, which explains a little the moderate joy observed Monday morning.

These two politicians reached an agreement over the weekend to raise the US public debt ceiling for two years and thus avoid a cataclysmic default.

"The agreement avoids the worst possible crisis: a default for the first time in the history of our country, an economic recession, devastated retirement savings accounts, millions of jobs lost," said the Democratic president.

But the deal must be approved by a divided Congress and is already the subject of a sling of progressive and conservative elected officials, some speaking of a "capitulation".

"Overall, the deal is more of a victory for Biden and the Democrats because it contains relatively limited budget cuts," said political scientist Nicholas Creel.

"The joy of a potential deal in the U.S. debt dispute is limited," because the upcoming battle in the U.S. Congress this week will prove complicated, said Andreas Lipkow, an independent analyst.

Regarding France, in the run-up to the verdict of the rating agency Standard and Poor's, which must update its rating on the France next Friday, the government is working to convince of the seriousness of its budgetary trajectory.

The interest rate on the ten-year French government debt stood at 3.08% on Monday morning, roughly stable compared to Friday.

Orpea moves forward with its restructuring

The Autorité des marchés financiers (AMF) on Friday granted exemptions to Caisse des Dépôts, CNP Assurance, MAIF and MACSF, which will not be obliged to file a draft takeover bid at the end of the various capital increases in which they will participate to restructure the group of retirement homes and clinics Orpea.

This group of investors is expected to own 50.2% of Orpea following the restructuring process of the group's debt and the accelerated safeguard procedure, the plan of which will be put to the vote of shareholders on June 16.

Orpea shares fell 4.16% to 2.10 euros.

© 2023 AFP