CAC 40 Edges Lower In Lackluster Trade

(RTTNews) – French stocks fell slightly in lackluster trade on Friday as strong U.S. economic data released overnight intensified expectations of the likelihood of U.S. Federal Reserve paring back its bond-buying program.

While ADP private payrolls surged in May, U.S weekly jobless claims fell below 400,000 last week, indicating a strengthening of the labor market.

Separate data from the Institute for Supply Management showed that U.S. service sector activity hit a record high in May.

The U.S. nonfarm payrolls report due later in the day might offer more clues on labor market recovery and the direction of policy.

The benchmark CAC 40 slid 7 points or 0.1 percent, to 6,501 after declining 0.2 percent in the previous session.

Vivendi shares were down half a percent. Hedge-fund billionaire William Ackman’s special-purpose acquisition company, Pershing Square Tontine Holdings Ltd. (PSTH), confirmed that it is in discussions with the French media giant to acquire 10 percent of the outstanding ordinary shares of Universal Music Group B.V. or “UMG” for about $4 billion, representing an enterprise value of 35 billion euros for UMG.