By around 10:30 am, the CAC40 was down by about 0.4% to 8,280 points, while the pan-European Stoxx Europe 600 index slipped 0.2%, following a 0.6% gain by the Dow Jones across the Atlantic the previous day.

The return of geopolitical risks, concerns over the independence of the Fed, and a rather mixed start to earnings season in the United States have clearly weighed on the trend since the beginning of this week.

"We believe this earnings season will give investors confidence in the sustainability of profit growth, which is a key driver of market returns over the next 12 months," says Mark Haefele.

"We maintain our year-end target for the S&P 500 at 7,700 and recommend that under-allocated investors add exposure to our preferred areas," continues this Chief Investment Officer at UBS Global WM.

Today's agenda looks relatively quiet in the United States, with only industrial production for December (expected to rise 0.3% according to Jefferies) on the economic calendar for this afternoon.

The only major data released this morning in Europe was Germany's annual inflation rate, confirmed down by 0.5 point to +1.8% for December 2025, falling to its lowest level since September 2024 (+1.6%).

In Paris stock news, Thales (+2%) stands out at the top of the CAC 40, after the high-tech group confirmed its 2025 targets during its pre-closing conference call for the fourth quarter.

Exosens (+3%) is benefiting from a note by Bernstein, which maintains an "outperform" rating and raises its price target from 54 to 61 euros, while Medincell (+3%) is supported by Oddo BHF, which also keeps an "outperform" rating and lifts its price target from 27 to 34 euros.

Elsewhere in Europe, Klöckner soared by 27%, as the German steel and metals distributor agreed to a merger with Worthington Steel, an American group that will thus offer to acquire it at a price of 11 euros per share.