Analysts at BCA Research with the warning that Lecornu’s resignation confirms that French bonds remain uninvestable, and they are not alone.
As long as France’s parliament remains without a clear majority, no government will be able to tackle the country’s mounting debt or fiscal challenges. Addressing these problems will likely require a full-blown crisis in the French bond (OAT) market to force politicians into action.
Japan too would be my guess. But regular rules seem not to apply to Japan!
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Earlier:
French election risk & political uncertainty could stall the euro’s climb toward $1.20
This article was written by Eamonn Sheridan at investinglive.com.