LVMUY - Why LVMH Stock Slumped by More Than 3% Today
2024-07-08 18:21:36 ET
A surprise election result in its home country dinged the stock of luxury goods specialist LVMH Moët Hennessy Louis Vuitton (OTC: LVMUY) on Monday. The company saw the price of its U.S.-listed shares dip by over 3% on the day, while the bellwether S&P 500 index crept up to close 0.1% higher.
Investors dislike uncertainty, and the weekend parliamentary elections in France resulted in quite a bit of it the following day. The hard-right National Rally was expected to score a crushing victory, but that didn't happen. Instead, the leftist New Popular Front took the majority of seats, with 182 out of the total of 577.
That, of course, isn't enough for an outright majority, and at the moment it is anyone's guess what kind of government might be formed. Centrist grouping Ensemble Alliance was the second-largest vote-getter, winning 163 seats, but it might not be a comfortable fit in a ruling coalition with the New Popular Front.
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Why LVMH Stock Slumped by More Than 3% Today