French stock markets tumble after Prime Minister Lecornu resigns Details

Trading on the Paris stock exchange opened sharply lower Monday, October 6, morning, with the CAC 40 index falling more than 2% following news of French Prime Minister Sébastien Lecornu’s resignation, Finversia reports, citing Boursedirect data.

Stock prices began declining at the opening bell, but the drop accelerated around 09:39 local time (11:39 Baku time) after Lecornu’s decision became public. By 10:00 (12:00 Baku time), banking stocks were hit hardest: Societe Generale fell 6.6%, BNP Paribas 5.1%, and Credit Agricole 5%. Shares of Thales (-4.5%), Engie (-3.8%), and Bouygues (-3.6%) also declined significantly.

Lecornu’s resignation came a day after the release of an updated 18-member cabinet list, in which 13 ministers retained or were reassigned to new posts. The reshuffle sparked strong opposition criticism, including a threat of a no-confidence vote against the Prime Minister, and drew reproach from Interior Minister Bruno Retayo, who was reappointed to his post.

According to the Élysée Palace, President Emmanuel Macron accepted Lecornu’s resignation. Lecornu’s tenure set a record for brevity in the Fifth Republic, lasting less than a month and surpassing Michel Barnier, who resigned in December 2024 after three months in office.

By Khagan Isayev