At around 10:00 AM, the CAC 40 index dropped 0.26% (-20.88 points) to 7,969.23 points. On Thursday, it had already lost 40.57 points (-0.51%), closing at 7,990.11 points. The decline followed an announcement by the US President, who decided to impose an additional 25% tariff on automobiles not manufactured in the United States.
According to UBS economists, these tariffs will apply to cars from April 3 and to spare parts by May 3 at the latest. The European automobile industry, which employs 13 million people and contributes 10% to the EU’s GDP, has already been struggling. Analysts warn that these tariffs could exacerbate existing challenges in the sector.
Christopher Dembik, an investment strategist at Pictet AM, remarked that the US President is keeping his promise to make things difficult in the short term. He also noted that market volatility has surged, with stock prices fluctuating due to frequent White House announcements.
Read also: EU’s Kaja Kallas Calls for Ceasefire and Humanitarian Aid in Gaza
Investors are closely watching US inflation data (PCE) for February, as well as consumer price trends in France and Spain. France saw a 0.8% inflation rise in March, mirroring February’s trend. Meanwhile, Spain’s inflation slowed to 2.3%, largely due to lower electricity prices.
Ubisoft Joins Forces with Tencent in €4 Billion Deal
In the gaming industry, Ubisoft, struggling financially, announced a new subsidiary in partnership with the Chinese tech giant Tencent. The new entity will include Ubisoft’s most valuable franchises, such as Assassin’s Creed, Far Cry, and Rainbow Six.
The new division is valued at €4 billion, with Tencent holding a 25% stake and injecting €1.16 billion into the company. The news caused Ubisoft’s stock to surge by 9.71%, pushing its market value to €1.7 billion.
This article is originally published on france24.com
