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CAC 40 extends gains to above 7,700

Well, eventually the CAC 40 has managed to flip a move that seemed to have potential a few days back and that has taken the index to 7,700 this morning. The move higher is probably not that surprising, given the records being set in the DAX today. The index seems to be getting a lift from reports of the French government seeking a 2 year delay in meeting its 3% of GDP deficit target. Currently that is on track to be double that and hence breaking the fiscal rules set by Brussels. We shall just have to see how that eventually pans out and whether or not such a request is granted. Meantime, it is onwards and upwards for the CAC 40 this morning, currently trading at 7,705 

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