RFEU - Beware The Franco-German Spread
2024-06-17 22:10:00 ET
Summary
- Elections for the EU parliament are sending shock waves throughout financial markets in Europe.
- This expectation of a French veto of Monsieur Macron’s party is causing investors to buy German bunds and sell French government bonds, causing an expansion of the classic “Franco-German spread.”.
- If this selling in Europe continues, it is likely to rub off negatively on U.S. stocks.
Elections for the EU parliament are sending shock waves throughout financial markets in Europe. The national elections still matter more, when it comes to the politics of large EU countries, but the dismal performance of French President Emmanual Macron’s party caused him to call a snap election in France next month....
Beware The Franco-German Spread