Swiss perspectives in 10 languages

Euro slumps against Swiss franc after French elections

Euro freewheels after surprise French legislative elections
Euro freewheels after surprise French legislative elections Keystone-SDA

The euro slumped on Monday morning against the franc, and to a lesser extent the dollar, in the wake of an electoral upset in France.

Do you want to read our weekly top stories? Subscribe here.

Marine Le Pen and Jordan Bardella’s Rassemblement National lost the second round of legislative elections to the Nouveau Front Populaire. The far-right was also beaten by President Emmanuel Macron’s Ensemble party. At 08:46, the euro had lost 0.22% against the franc at 0.9687 EUR/CHF and 0.11% against the dollar at 1.0828 EUR/USD.

“The risk premium on the euro seems to have faded to some extent already, and we don’t expect any sudden bouts of weakness against the dollar given the absence of a clear majority,” says Claudia Panseri, head of investment in France for UBS’s Global Wealth Management unit.

External Content

If the left were to succeed in imposing its views, the single currency could sink below $1.05. A government made up of moderates should keep the EUR/USD pair around 1.08, she added.

The franc has benefited from a flight of capital to greater security, even though the euro has already made up much of its initial losses against the dollar, notes Ipek Ozkardeskaya, from Swissquote.

“In the space of a weekend, France has gone from an advantage for the far-right to a victory for the far-left,” continues the Gland-based online bank’s analyst, for whom the coalition led by Jean-Luc Mélenchon’s Insoumis has done too much to allay investors’ fears about the stability and predictability of French politics.

Translated from French by DeepL/mga

This news story has been written and carefully fact-checked by an external editorial team. At SWI swissinfo.ch we select the most relevant news for an international audience and use automatic translation tools such as DeepL to translate it into English. Providing you with automatically translated news gives us the time to write more in-depth articles.

If you want to know more about how we work, have a look here, if you want to learn more about how we use technology, click here, and if you have feedback on this news story please write to english@swissinfo.ch

External Content
Your subscription could not be saved. Please try again.
Almost finished… We need to confirm your email address. To complete the subscription process, please click the link in the email we just sent you.
Daily news

Get the most important news from Switzerland in your inbox.

Daily

The SBC Privacy Policy provides additional information on how your data is processed.

Popular Stories

Most Discussed

News

More than 1,100 Swiss cheeses on show in Lugano

More

Swiss Cheese Awards winners announced

This content was published on The three best Swiss cheeses were chosen on Friday in Lugano from over 1100 products submitted to an international jury.

Read more: Swiss Cheese Awards winners announced
Switzerland delivers equipment worth 5.6 million to Ukraine

More

Switzerland will deliver rubble removal equipment to Ukraine

This content was published on Thirty rubble removal machines and thirty fire-fighting pumps: this is the equipment that Switzerland will be delivering to the Ukraine in the next few days. The total value of these goods is 5.6 million Swiss francs.

Read more: Switzerland will deliver rubble removal equipment to Ukraine

In compliance with the JTI standards

More: SWI swissinfo.ch certified by the Journalism Trust Initiative

You can find an overview of ongoing debates with our journalists here . Please join us!

If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.

SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR

SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR