The CAC 40 index inched 0.1% lower to around 7,740 on Monday, opening the week on a cautious note as investors brace for global trade and geopolitical developments. Focus centered on the US-China tariff truce, set to expire Tuesday, with questions over whether negotiators will strike an extension or risk reigniting a trade war. While markets lean toward a renewal, uncertainty over the talks continues to weigh on sentiment, given the potential for worldwide economic fallout. Meanwhile, US tariffs of up to 50% on certain regional economies took effect last Thursday, adding fresh trade headwinds. Geopolitics also loomed large, with US President Donald Trump and Russian President Vladimir Putin set to meet in Alaska on Friday to discuss ending the war in Ukraine. On the corporate front, defence stocks led the decline, such as Airbus (-0.7%), Thales (-1%), and Dassault (-0.5%), amid hopes of a peace deal. Conversely, healthcare shares rose, led by Sanofi (0.5%).