CAC 40 Down Nearly 1% As Middle East Concerns Weigh

After posting gains in the previous two sessions, French stocks fell on Tuesday as concerns about Middle East conflict returned to haunt sentiment following fresh military action by the U.S. against Iranian targets.

Fears of possible interest rate hikes by the European Central Bank next month hurt as well. The ECB should raise interest rates in June even if there’s a quick resolution to the Middle East conflict, ECB Executive Board member Isabel Schnabel said today.