The CAC 40 index fell 0.9% to close at 7,912 on Friday, the lowest since September as multiyear high unemployment rate and escalating energy costs in the Middle East stoked fears of a stagflationary environment. This recent rise in the jobless rate to 7.9% has intensified concerns over domestic consumption as the blockade of the Strait of Hormuz pushes oil prices toward 100 dollars per barrel. TotalEnergies climbed 2.7% as energy prices spiked while luxury giants like LVMH and Kering dropped 4.3% and 2.8%, respectively due to waning global demand. Revised inflation data for February rose to 0.9% and reinforced expectations that the European Central Bank will initiate a rate hike as early as June. Banking stocks including Societe Generale also retreated as market participants weighed the impact of tighter monetary policy on a cooling regional economy. The euro weakened generally as the US dollar attracted safe haven flows during the largest wave of strikes yet against Iranian targets.