Why is Euro higher on early Le Pen lead?

Ivan Delgado Independent Analyst

The latest French election resuts, with 66.6% of votes counted, according to the French Interior Ministry, show Le Pen leading with 23.22% vs Macron 23.04%. Despite the marginal lead by the anti-European candidate Le Pen, the Euro has tested highs above the 1.09 in early trade.

Why the gap up in the Euro?

The main reason behind the bid tone seen in the Euro is due to the expectations that Macron will end with a solid lead by the end of the total counting. The Interior Ministry results are based on counted votes so far, which include rural and countryside polling stations (closed earlier). However, once votes from the largest cities are factored in, Macron is expected to re-take the lead as he is likely to get support from big cities vs Le Pen's countryside and rural towns advantge.

Author

Ivan Delgado

Independent Analyst

Established in the Asian continent since 2009, Ivan studied a degree in Business at the University Pompeu Fabra (Barcelona), while also earning a postgraduate degree in Business Administration.

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