(RTTNews) – French stocks drifted lower on Wednesday as investors kept a wary eye on global bond markets.
U.S. 10-year Treasury yields have topped 1.3 percent for the first time in nearly a year, driven by increasing inflationary concerns on the back of successful vaccine rollouts and prospects of more stimulus.
The three-month implied volatility on 10-year swap rates jumped, signaling that U.S. Treasuries are in for more wild gyrations.
The benchmark CAC 40 was marginally lower at 5,785 after finishing little changed on Tuesday.
Luxury goods company Kering, whose portfolio of brands includes Saint Laurent and Balenciaga, plunged 7.2 percent after it suffered a sales slowdown during the key Christmas shopping season.
Banks BNP Paribas, Credit Agricole and Societe Generale rose 1-2 percent on expectations that they would benefit from higher yields.