Stock Markets in Europe React to French Election Results
The Paris stock market saw a surge at the beginning of trading on Monday amidst hopes that the French far right might not secure an absolute parliamentary majority and seize control of the government.
The Paris CAC 40 index rose by 2.6 percent to 7,672.71 points as campaigning intensified ahead of the upcoming runoff elections on Sunday.
In the initial round of polls on Sunday, the far-right National Rally party, led by Marine Le Pen, emerged victorious, with President Emmanuel Macron’s centrists lagging behind in third place behind a left-wing coalition.
The main uncertainty leading up to the second round of elections on July 7 is whether the RN will secure an absolute majority in the new National Assembly.
In other European stock markets, Frankfurt’s DAX index also saw a positive start, gaining 1.1 percent to 18,438.96 points at the opening on Monday.
Meanwhile, London’s FTSE 100 index climbed by 0.6 percent to 8,210.42 points as the United Kingdom prepares for its upcoming general election on Thursday. The main opposition Labour party is poised to end the 14-year rule of the Conservative party, led by Prime Minister Rishi Sunak, who has consistently trailed in polls throughout the election campaign.
