The Paris stock exchange remains close to flat on Wednesday morning in a market expected to be thin ahead of a shortened session before the long Christmas weekend, with global indices still hovering at record highs. The CAC 40 index is up about 0.2% at 8,117 points, continuing the stable trend that has prevailed for nearly a month now.

With many market participants already on holiday, trading volumes are expected to remain very light and movements limited, as Euronext markets will close at 2:00 p.m. and London will shut at 1:30 p.m. Elsewhere in Europe, the Frankfurt, Milan, and Zurich stock exchanges are already closed.

With little to report in terms of stocks or economic indicators, the few European markets still open on Christmas Eve are likely to drift quietly in a low-volatility environment.

Investors have clearly wrapped up their positions for the year and are taking a break to digest the strong performances recorded in 2025.

With one week left in the year, Paris's CAC 40 is heading for a gain of nearly 10%, a perfectly respectable performance given the political uncertainty that has weighed on the business climate in France in recent months.

However, this lags behind the DAX (+22%) and the STOXX Europe 600 (+16%), which have benefited greatly from improved economic prospects across the continent.

Equity markets have shown surprising resilience despite the imposition of new U.S. tariffs, whose effects on growth and inflation have ultimately remained contained.

The New York Stock Exchange will also operate a half-day session today, closing at 1:00 p.m. local time.

Wall Street, trading at record highs, has been buoyant since last week's announcement of a sharp slowdown in U.S. inflation, which supports continued monetary easing by the Fed after three rate cuts in recent months.

So far in 2025, the Dow Jones is up nearly 14%, the S&P 500 has gained more than 17%, and the Nasdaq Composite has climbed over 22%.

Analysts expect the upward trend to continue into 2026, thanks to global growth that should remain robust, despite an increasingly K-shaped recovery, and ongoing investments in AI, which now represent a significant share of economic activity.

While stock valuations remain high and a great deal of optimism is already priced in—leaving room for potential disappointment—corporate earnings are expected to keep rising.

On currency markets, the dollar continues its downward trend started at the beginning of the year and is set to finish the period down 14% against the euro, which is once again flirting with the 1.18 mark.

The strong performance of equities and some year-end portfolio rebalancing are weighing on the bond market, with 10-year Treasury yields rising toward 4.17%, their highest in three months.

Brent crude is up 0.2%, remaining above the $62 mark due to current tensions between the United States and Venezuela, but the European benchmark price has dropped 18% this year amid persistent fears of oversupply.

The ultimate safe haven, gold has not suffered from the risk-on climate and is up another 0.1% at $4,519.1, at historic highs. Over the full year, the yellow metal is set to post gains of about 73%.