France 40 (CAC 40) CFD Trading*
The CAC 40 index is one of the main indices of the French stock market. It serves as a key indicator of the country's economic health and investor sentiment. Interested? Start trading France 40 CFDs at FXOpen today.
France 40 (CAC 40) Live Charts
Use our France 40 (FCHI) chart to get the most up-to-date insight into the recent performance of the CAC 40 index. It can help you make informed decisions at home or on the go – no matter if you use the TickTrader desktop platform, web terminal, or mobile app. Our real-time chart includes the very latest prices, historical data, and technical analysis tools to help guide your next trade.
What Is France 40 (CAC 40) CFD Trading?
The CAC 40 (FCHI) is a benchmark French stock market index representing the 40 largest publicly traded companies listed on the Euronext Paris stock exchange. France 40 (CAC 40) CFD trading refers to trading Contracts for Difference (CFDs) based on the CAC 40 index.
CFD trading enables traders to participate in trading without the need to own the underlying assets. When trading France 40 (CAC 40) CFDs, traders aim to take advantage of the index price fluctuations. They can take both long and short positions, depending on their market outlook.
At FXOpen, you can trade France 40 (CAC 40) CFDs and other world-famous indices with tight spreads and zero commission.
Historical Price Performance of the CAC 40 Index
The CAC 40 has experienced significant price volatility since the beginning of the 21st century.
At the beginning of 2000, the FCHI index reached an all-time high, buoyed by the dot-com bubble and optimistic market sentiment. However, the bubble soon burst, and the stock market experienced significant losses. By the middle of September 2001, the FCHI plunged by approximately 50% from its peak in 2000.
In the following years, the CAC 40 recovered – it gradually regained its losses and surpassed its previous highs. The mid-2000s saw a sustained period of economic expansion and a bull market in stocks.
The latter half of 2008 saw unprecedented turmoil in financial markets. The CAC 40 experienced significant losses. By March 2009, it had declined by approximately 55% from its peak in 2007. It took time for FCHI to recover. Only the middle of 2012 marked the start of a new bull market for the stock market.
The onset of the COVID-19 pandemic in early 2020 led to heightened volatility in global financial markets, including the CAC 40. In February-March 2020, it plunged by around 42%. However, following significant fiscal and monetary stimulus measures, the index staged a rapid recovery. By April 2021, it had recovered its pandemic losses and started reaching new highs.
Major Factors That Affect the CAC 40 Index
The CAC 40, like any other stock market index, is influenced by a variety of factors that include the overall economy, investor sentiment, and the performance of its constituent companies. Here are some major factors that can impact the FCHI price:
Economic data such as GDP growth, inflation rates, unemployment figures, consumer spending, and industrial production can significantly impact the index. Positive economic indicators generally lead to higher investor confidence and can drive stock prices higher.
Decisions made by the European Central Bank (ECB) regarding interest rates, monetary stimulus programmes, and quantitative easing measures can influence the FCHI. Lower interest rates and accommodative monetary policy typically support economic growth and stock prices.
The financial performance of companies comprising the index is a crucial driver of its overall performance. Strong earnings reports from individual companies or sectors can lift its value.
Political developments, government policies, and regulatory changes can impact investor sentiment and market confidence. Uncertainty surrounding political events or policy decisions may lead to market volatility and affect the performance of the CAC 40.
Developments in international markets, particularly in major economies like the United States and China, can impact investor sentiment and the direction of the CAC 40 (FCHI) stock index. Factors such as trade tensions, geopolitical events, and global economic conditions can affect stock prices globally and influence the FCHI value.
* France 40 is the FXOpen version of the CAC 40 index.