By Marco Hugo Barsotti MHB 
You are listening to a new special of France Today in podcast and on Radio Milan 1575 kHz.
Market scenarios
Paris’s leading index slipped mid‑day, closing around 8,704 points, down 0.1 percent. Traders are watching closely the developments between Iran and the United States in the Strait of Hormuz, while the real focal point remains the release of the U.S. inflation report scheduled for 2:30 p.m. today.
Luxury under pressure
The luxury goods sector drags the index: Kering fell 2.9 percent, LVMH lost 1.8 percent and Hermès dropped 1.4 percent. The sell‑off follows a negative note from Deutsche Bank, which said the sector’s valuations are too high and voiced doubts about earnings growth pace.
Expert comments
John Plassard of Cité Gestion highlighted that a higher‑than‑expected inflation reading could trigger a revision of interest‑rate expectations in the United States, with possible repercussions for the European market as well.
Other indicators
The euro‑dollar exchange rate remains stable, sitting around $1.1536. Oil prices show a slight rise: the October Brent contract gains 0.2 percent to $89.07 per barrel, while WTI advances 0.4 percent to $83.56.
Outlook
Investors await the inflation data to gauge whether the Federal Reserve will keep or adjust its monetary policy. Meanwhile, pressure on the luxury sector and geopolitical tensions keep European markets in a cautious mood.
Rachel’s editorial – CAC 40 on vacation, algorithms are surfing
Is it really a comedy scene? The CAC 40, that glorious index symbol of French finance, has just woken up with a slight dip of 0.1 % while most traders are still panic‑shopping on the beach of Saint‑Tropez. As if their absence were a market signal: “If you’re not here, let the robots take over, maybe I’ll discover that logic is faster than our espresso coffee.”
And then there’s luxury, that Trojan horse of the great fashion houses, slipping to –2.9 % after a note from Deutsche Bank. But do we really have to believe that a consultant from a German bank has a crystal ball to predict the decline of LVMH and Kering values? Or is it just a fancy way of saying “I didn’t understand anything, but I’ll give you a rating and you’ll buy”?
Meanwhile, all eyes are on U.S. inflation, which promises to “turn the tables” at 2:30 p.m. A forecast of 3.4 % core inflation and 2.5 % excluding food and energy sounds more like a Hollywood script than an economic certainty. And we, poor listeners, keep treating these numbers as if they were the menu of a Michelin‑starred restaurant, while the market looks at the menu of an algorithmic fast‑food joint.
So, dear listeners, the next time you hear experts talk about “logic” and “rational decisions”, ask yourselves: is it really data science driving the CAC, or is it just an excuse to hide the fact that the real decision‑makers are on vacation with their cocktails? The answer, as always, is as fascinating as it is nonsensical: finance is a theater, and algorithms are the main actors… but without an audience.
Koan of the day
Monk: If the market moves without traders, who is the real puppeteer?
Master: The puppeteer is the silence of the server, where the lights flicker and decide what is worth more than a vacation dream.
Monk: Then, what remains for man when the algorithm decides the value of a luxury brand?
Master: Only the awareness that true wealth is being able to laugh in front of a chart that says “logical” while the market takes a coffee break.
That’s all for now. From the Paris editorial office this is Rachel Costa: this is France Today with Radio Milan 1575 kHz.