The CAC 40 tumbled 1.7% to close at 8,319 on Thursday, falling to its lowest level in over a month ahead of Fitch’s review of France’s sovereign credit rating. Fitch’s assessment is due Friday, after the agency downgraded France to A+ last year. Political uncertainty also weighed on sentiment ahead of an early presidential debate. France faces a particularly challenging budget battle in the coming months, with one of the largest deficits in the eurozone. The budget dispute and presidential race are expected to fuel uncertainty. Losses were broad-based amid heightened risk aversion, with LVMH down 1.4%, Safran shedding 2%, Engie losing 3.4% and Vinci retreating 3.9%. Financials underperformed, with BNP Paribas losing 4.8%, Credit Agricole down 4% and Societe Generale shedding 5%. Pernod Ricard fell 4.6% after reporting lower sales in FY 2026.