Cac 40 closes down as French joblessness passes 3 million mark

<p>The Cac 40 has closed down as French unemployment rises past three million.</p>

The benchmark Cac 40 index closed down yesterday (September 26th) as French joblessness passed the three million mark for the first time since 1999.

According to the Labour Ministry, the number of unemployed in August rose by nine per cent – or 23,900 people – to 3.01 million, making this the 16th month in a row this figure has risen.

The French economy is visibly struggling, posting three consecutive quarters of flat growth and analysts predict this may be an ongoing trend for the coming months.

This is bad news for president Francois Hollande, who was voted in earlier in the year due to his stance on bringing about a recovery.

Labour minister Michael Sapin told France 2 television that the situation was "clearly bad", but that it was inherited from the previous government.
Last night, the Cac 40 closed 2.8 per cent lower to an index value of 3414.8 points.

Find the latest spread betting strategies for the international markets at City Index.

Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.