European stock exchanges should open sharply fall on Tuesday, worried about trade tensions between the United States and the China, which announced sanctions on Tuesday against the American subsidiaries of a South Korean shipyard.

The first cabinet of government ministers Lecornu II, which took office on Monday, will take place this morning. A draft budget for 2026 should be presented there, before being sent to Parliament.

Sébastien Lecornu will deliver his general policy statement to the National Assembly. This grand oral will be decisive while the Prime Minister is under the threat of a censorship of oppositions.

On the business side, the manufacturer of On Monday evening, Michelin tyres announced a reduction in its targets. financial results for 2025, while its sales and profitability have been penalized in the third quarter by the decline in the American market and by the rights of customs.

The advertising group Publicis raised its organic net income growth forecast in 2025 for the second time of the year, while this indicator equivalent to turnover is grew strongly in the third quarter.

The financial reporting agency Moody's Ratings has On Monday evening lowered its outlook on the “Baa2" credit rating of car manufacturer Stellantis from “stable” to “negative”.
LVMH and Gecina will publish their third-quarter sales on Tuesday after the close of the Paris Stock Exchange.
The aeronautical equipment manufacturer Safran announced that it would invest 200 million euros to install a new LEAP-1A engine assembly line at the Morocco by 2027.

Around 7:40 a.m., the CAC 40 futures contract lost 0.7%, according to data from the broker IG.

European index futures back off on Tuesday morning.

Around 7:40 a.m., the DAX 40 futures contract at Frankfurt fell by 0.5%, while that on the FTSE 100 in London fell by 0.5%. 0.4%, according to data from the broker IG.

On the news trade tensions side CNBC reports that China added five American subsidiaries of the South Korean shipyard Hanwa Ocean on its sanctions list due to their supposed participation in a Washington investigation into the Chinese naval sector.

The New York Stock Exchange rebounded on Monday, reassured by the more accommodating remarks of the American President, Donald Trump, regarding China.

The Dow Jones Industrial Average rose 1.3% to 46,067.58 points, and the S&P 500 rose 1.6% to 6,654.72 points. The Nasdaq Composite rose 2.2% to 22,694.61 points after plunging 3.6% on Friday.

Donald Trump said Sunday on his Truth network Social that he wanted to “help China, not harm it.”
In reaction to the announcement by Beijing of new restrictions on Donald Trump threatened to impose rare earth exports on Friday From November 1, additional customs tariffs of 100% on products imported from China, in addition to customs duties already in place. This revival of Trade tensions resulted in a sharp drop off on Wall Street Friday.

Banking groups JPMorgan Chase, Goldman Sachs, Citigroup and Wells Fargo will release their third-quarter results before the opening on Tuesday from Wall Street.

In Asia, the Nikkei index of the Tokyo Stock Exchange fell by 2.4% at the end of trading on Tuesday. The Japanese market was closed Monday. The Shanghai Composite Index rose by 0.1% on Tuesday, while the Hang Seng on the Hong Kong Stock Exchange lost 0.8%.

Around 7:40 a.m., the two-year stock rate gave way dropped 2.5 basis points to 3.49%. The Treasury bond rate American at ten years fell by 0.8 basis point, to 4.03%.

The greenback lost 0.4% against the currency Japanese, at 151.70 yen. Around 7:40 a.m., the euro gained 0.2% to 1.1590 dollars. The greenback lost 0.4% against the Japanese currency, at 151.70 yen.

This morning, after being supported on Monday by the signs of easing of trade tensions between the United States and China, oil futures are stabilizing. According to Chris Beauchamp of IG, “The United States and China spent the weekend fending off the risk. of a new trade war, with American politicians having made most of the statements and helped repair the damage caused on Friday.”

The November soft light crude (WTI) contract listed on Nymex also lost 3 cents, or 0.1%, to 59.46 dollars per barrel. Vers 7:40 a.m., the December North Sea Brent contract listed in London sold out 3 cents, or 0.1%, to $63.29 per barrel.