What Macron’s Win In France Means For
Emerging Markets And India
As result of
France’s presidential election has already been announced and Emmanuel Macron
won the election defeating Le Pen. Emmanuel Macron is the youngest president in
the history of France. As market was expecting the same and the positive rally
was already in cashed that’s why market has not reacted unexpectedly after the
results. If Le Pen would had won then definitely a sell off rally was expected.
Macron has
sounded pro-business, consistently talking about labour and tax reforms as well
as infrastructure spending. The equity markets love these terms. All French and
EU focused businesses are likely to benefit, and there may well be a bit of an
up-move in European equities in the first half of the week.
Investors in emerging markets like India would
be happy that the EU markets are now unlikely to see some vicious sell-off.
This puts the focus back on domestic factors and the local triggers.
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