The CAC 40 index edged 0.1% lower to close at 7 635 on Tuesday, trimming back Monday’s sharp 1.1% rebound from last week’s rout as investors wrestled with mixed economic reports and awaited the start of European tariffs on August 7th. Over the weekend Brussels agreed to suspend its retaliatory duties on the US for six months. Domestically, France’s industrial output leapt by 3.8% in June, the strongest monthly increase since mid-2020 and far ahead of forecasts, just as the services PMI was revised down to 48.5 for July, its fastest contraction in three months and extending an eleven-month downturn in the sector. Meanwhile markets were buoyed by growing odds of a Federal Reserve rate cut in September after softer-than-expected US employment figures. Among individual movers, LVMH (-1.3%), L'Oreal (-1.7%), and Schneider Electric (-2.1%) led the losses, while Airbus (1.7%), AXA (1.6%), and Saint-Gobain (0.9%) were among the top gainers.