CAC 40 Slides As Yields Rise

(RTTNews) - French stocks traded lower on Monday as Middle East worries escalated and investors awaited comments from ECB President Christine Lagarde and Federal Reserve Chair Jerome Powell for additional clues on the rate outlook.

The benchmark CAC 40 dropped 107 points, or 1.4 percent, to 7,684 after gaining 0.6 percent on Friday.

Government bond yields nudged higher despite rising odds that the ECB will accelerate the pace of its interest rate cuts.

China-related stocks fell after data showed China's factory activity shrank for a fifth straight month and the services sector slowed sharply in September, offsetting investor euphoria over Beijing's big shot of stimulus.

LVMH dropped 1 percent and Kering lost 2 percent.